Q4 2022 23andMe Holding Co. Earnings Call

May 26, 2022

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Speaker 1: The.

Speaker 1: [music]

Good morning and welcome move. The 23 and meetanss fiscal year 20- 20. two fourth quarter and year-end financial results conference call at remindder. This call is being recorded at this time. All' participants unlisten only mode. After the prepared remarks, there will be a question-and-answer session and, like the and I would now like to turn the call over to what Wade walk Vice President, will Investor Relations to lead off the call? Thank you, Please go ahead.

Speaker 1: Good morning and welcome move. The 23 and meetanss fiscal year 20- 20. two fourth quarter and year-end financial results conference call at remindder. This call is being recorded at this time. All' participants unlisten only mode. After the prepared remarks, there will be a question-and-answer session and, like the and I would now like to turn the call over to what Wade walk Vice President, will Investor Relations to lead off the call? Thank you, Please go ahead.

Operator: Good morning and welcome the 23andMe's fiscal year 2022 fourth quarter and year end financial results conference call. As a reminder, this call is being recorded. At this time all participants in listen only mode. After the prepared remarks, there will be a question and answer session. I would now like to call- I would now like to turn the call over to what Wade Walke, Vice President of Investor Relations to lead off the call. Thank you. Please go ahead.

Thank you. Before we begin, I encourage everyone to go to investors. Do 23 me com to find the press release we issued earlier today reporting our financial results for the quarter and fiscal year. A replay of's webcast will also be available on our website for a limited time, within 24 hours after the event.

Speaker 1: Thank you. Before we begin, I encourage everyone to go to investors. Do 23 me com to find the press release we issued earlier today reporting our financial results for the quarter and fiscal year. A replay of's webcast will also be available on our website for a limited time, within 24 hours after the event.

Wade Walke: Thank you. Before we begin, I encourage everyone to go to investors.23andme.com to find the press release we issued earlier today reporting our financial results for the quarter and fiscal year. A replay of today's webcast will also be available on our website for a limited time within 24 hours after the event. Please note that certain statements made during this call regarding matters that are not historical facts, including but not limited to management's outlook or predictions for future periods, are forward-looking statements. These statements are based solely on information that is now available to us. We encourage you to review the section entitled "forward looking statements" in our press release, which applies to this call also. Please refer to our SEC filings, which can be found on our website and the SEC's website, for a discussion of numerous factors that may impact our future performance. We also discuss certain non-GAAP measures. Important information on our use of these measures and reconciliation to U.S. GAAP may be found in our earnings release.

Please note that certain statements made during this call regarding matters that are not historical facts, including but not limited to management's outlook or predictions for future periods, are forward-looking statements. These statements are based solely on information that is now available to us.

Speaker 2: Please note that certain statements made during this call regarding matters that are not historical facts, including but not limited to management's outlook or predictions for future periods, are forward-looking statements. These statements are based solely on information that is now available to us.

We encourage you to review the section entitled forward-looking statements in our press release, which applies to this call also. Please refer to our SEC filings, which can be found on our website and the SEC's website, for a discussion of numerous factors that may impact our future performance.

Speaker 3: We encourage you to review the section entitled forward-looking statements in our press release, which applies to this call also. Please refer to our SEC filings, which can be found on our website and the SEC's website, for a discussion of numerous factors that may impact our future performance.

We also discussed certain non-GAAP measures. Important information on our use of these measures and reconciliation to U's GAAP may be found in our earnings release.

Speaker 2: We also discussed certain non-GAAP measures. Important information on our use of these measures and reconciliation to U's GAAP may be found in our earnings release.

Joining us on today's call are amwogenski, our Chief Executive Officer and Co-Founder, kenth Helen, our Chief therapeutics Officer, and Steve shook, our Chief Financial Officer.

Speaker 2: Joining us on today's call are amwogenski, our Chief Executive Officer and Co-Founder, kenth Helen, our Chief therapeutics Officer, and Steve shook, our Chief Financial Officer.

Wade Walke: Joining us on today's call are Anne Wojcicki, our Chief Executive Officer, and Co-Founder, Kenneth J. Hillan, our Chief Therapeutics Officer, and Steve Schoch, our Chief Financial Officer.

And now I'd like to turn call over to Anne.

Speaker 2: And now I'd like to turn call over to Anne.

Thank you, Wade.

Speaker 4: Thank you, Wade.

We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetics into everyday care, with the ultimate goal of making personalized health care a reality.

Speaker 5: We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetics into everyday care, with the ultimate goal of making personalized health care a reality.

Multiple speakers: And now I'd like to turn call over to Anne. Thank you, Wade.

Anne Wojcicki: We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetics into every day care, with the ultimate goal of making personalized healthcare a reality.

one of the unique aspects of our approach is that we will be able to offer people the ability to access and learn about their DNA and then take proactive, preventative steps to manage their health and well-being through guidance from our genetic train remedade clinicians.

Speaker 6: one of the unique aspects of our approach is that we will be able to offer people the ability to access and learn about their DNA and then take proactive, preventative steps to manage their health and well-being through guidance from our genetic train remedade clinicians.

Anne Wojcicki: One of the unique aspects of our approach is that we will be able to offer people the ability to access and learn about their DNA and then take proactive, preventative steps to manage their health and well-being through guidance from our genetically trained <unk> clinicians.

Nearly 20 years ago, as the human genome project was being completed, leaders at the time predicted that genetic would have the potential to transform how we diagnosed, treat and prevent all human disease.

Speaker 7: Nearly 20 years ago, as the human genome project was being completed, leaders at the time predicted that genetic would have the potential to transform how we diagnosed, treat and prevent all human disease.

Anne Wojcicki: Nearly 20 years ago, as the human genome project was being completed, leaders at the time predicted that genetics would have the potential to transform how we diagnosed, treat and prevent all human disease.

That vision still exist in today, but for a number of reasons, such as lack of reimbursement, education and training, genetics is not widely adopted into care.

Speaker 8: That vision still exist in today, but for a number of reasons, such as lack of reimbursement, education and training, genetics is not widely adopted into care.

Anne Wojcicki: That vision still exists in, but for a number of reasons, such as lack of reimbursement, education and training, genetics is not widely adopted into care.

We have the opportunity to partner with customers and the traditional health care world to use genet data to truly personalize care.

Speaker 9: We have the opportunity to partner with customers and the traditional health care world to use genet data to truly personalize care.

Anne Wojcicki: We have the opportunity to partner with customers in the traditional health care world to use genetic data to truly personalize care.

We are taking this next step because it is the logical progression of our vision to help people access, understand and benefit from the human genome. We have delivered on the first two aspects of our vision- accessibility and understanding- by now offering over 60 health reports in our personal genum service.

Speaker 5: We are taking this next step because it is the logical progression of our vision to help people access, understand and benefit from the human genome. We have delivered on the first two aspects of our vision- accessibility and understanding- by now offering over 60 health reports in our personal genum service.

Anne Wojcicki: We are taking this next step because it is the logical progression of our vision to help people access, understand and benefit from human genome. We have delivered on the first two aspects of our vision- accessibility and understanding- by now offering over 60 health reports in our personalized <unk> service.

We've also grown our customer base to 12.8 million genotypees customers.

Speaker 10: We've also grown our customer base to 12.8 million genotypees customers.

Our new focus strives to deliver on the third aspects of our vision: to help people benefit from the human genome.

Speaker 9: Our new focus strives to deliver on the third aspects of our vision: to help people benefit from the human genome.

Anne Wojcicki: We've also grown our customer base to 12.8 million genotyped customers.

Anne Wojcicki: Our new focus strives to deliver on the third aspects of our vision: to help people benefit from the human genome.

We know there is a huge unmet need for prevented at healthcare. It has been reported that 40% of deaths from the five leading causes in the U's are preventable.

Speaker 11: We know there is a huge unmet need for prevented at healthcare. It has been reported that 40% of deaths from the five leading causes in the U's are preventable.

Anne Wojcicki: We know there is a huge, unmet need for prevented at healthcare. It has been reported that 40% of deaths from the five leading causes in the U.S. are preventable.

Yet accessibility to preventative care remains a problem for most people.

Speaker 5: Yet accessibility to preventative care remains a problem for most people.

We believe that with our first of its kind genomic health service focus on genetic and personalized health data, we have an opportunity to fill this unmet need: improve people's lives.

Speaker 12: We believe that with our first of its kind genomic health service focus on genetic and personalized health data, we have an opportunity to fill this unmet need: improve people's lives.

Anne Wojcicki: Yet, accessibility to preventative care remains a problem for most people.

Anne Wojcicki: We believe that with our first of its kind, genomic health service, focus on genetic and personalized health data, we have an opportunity to fill this unmet need and improve people's lives.

I think everyone knows that health care is not personalized today.

Speaker 13: I think everyone knows that health care is not personalized today.

In most cases it's a one-size fall approach.

Speaker 4: In most cases it's a one-size fall approach.

Anne Wojcicki: I think everyone knows that health care is not personalized today.

For example, we see guidelines for cancer streamening that are primarily based on age, but rarely based on an individual's genetic risk.

Speaker 4: For example, we see guidelines for cancer streamening that are primarily based on age, but rarely based on an individual's genetic risk.

Anne Wojcicki: In most cases it's a one size fits all approach.

Anne Wojcicki: For example, we see guidelines for cancer screening that are primarily based on age, but rarely based on an individual's genetic risk.

Because genetic testing is very rarely used outside of prenatal in cancer care. Most people don't know their' genetic risk factors, much less what to do with that information.

Speaker 14: Because genetic testing is very rarely used outside of prenatal in cancer care. Most people don't know their' genetic risk factors, much less what to do with that information.

Anne Wojcicki: Because genetic testing is very rarely used outside of prenatal in cancer care, most people don't know their genetic risk factors, much less what to do with that information.

In addition, more often than not, insurance presents a barrier to accessing genetic testing.

Speaker 4: In addition, more often than not, insurance presents a barrier to accessing genetic testing.

Anne Wojcicki: In addition, more often than not, insurance presents a barrier to accessing genetic testing.

We also know that our customers have had problems translating information about their genetic health risks to tangible health benefits and outcome.

Speaker 15: We also know that our customers have had problems translating information about their genetic health risks to tangible health benefits and outcome.

Anne Wojcicki: We also know that our customers have had problems to translating information about their genetic health risks to tangible health benefits and outcome.

Often they take our genetic health reports to the primary care physicians, who largely don't know how to interpret or act on the information.

Speaker 16: Often they take our genetic health reports to the primary care physicians, who largely don't know how to interpret or act on the information.

Anne Wojcicki: Often they take our genetic health reports to the primary care physicians, who largely don't know how to interpret or act on the information.

Our efforts on the consumer side will now be focused on building a vertage between health and bookawareness and health risk and disease management with our new genomic health services.

Speaker 9: Our efforts on the consumer side will now be focused on building a vertage between health and bookawareness and health risk and disease management with our new genomic health services.

Anne Wojcicki: Our efforts on the consumer side will now be focused on building a bridge between health disawareness, and health risk and disease management with our new genomic health services.

Our plan is to support patients from the first touchpoint through a continuum of care, being the trusted guide.

Speaker 4: Our plan is to support patients from the first touchpoint through a continuum of care, being the trusted guide.

Anne Wojcicki: Our plan is to support patients from the first touch point through a continuum of care, being the trusted guide.

Over the next few years, we plan to concentrate on the direct-to-consumer self-pay market.

Speaker 4: Over the next few years, we plan to concentrate on the direct-to-consumer self-pay market.

Anne Wojcicki: Over the next few years, we plan to concentrate on the direct-to-consumer self-pay market.

Once we established ourselves in the GTC market, then we can look into growing into other channels.

Speaker 9: Once we established ourselves in the GTC market, then we can look into growing into other channels.

Anne Wojcicki: Once we established ourselves in the GTP market, then we can look into growing into other channels.

This effort started with our acquisition and integration of lemonate health and motela health and digital pharmacy services. Our next steps are to roll out our new genomic health services.

Speaker 5: This effort started with our acquisition and integration of lemonate health and motela health and digital pharmacy services. Our next steps are to roll out our new genomic health services.

Anne Wojcicki: This effort started with our acquisition and integration of Lemonaid health and their telehealth and digital pharmacy services. Our next steps are to roll out our new genomic health services.

This this month we started data testing, a genetic pport consultation service with clinicians who are trained in genetic health concept.

Speaker 9: This this month we started data testing, a genetic pport consultation service with clinicians who are trained in genetic health concept.

Anne Wojcicki: Just this month we started data testing a genetic support consultation service with clinicians who are trained in genetic health concepts.

This service provides customers with the opportunity that have genetics report compsultations on three of our genetic health risk reports.

Speaker 5: This service provides customers with the opportunity that have genetics report compsultations on three of our genetic health risk reports.

Anne Wojcicki: This service provides customers with the opportunity that have genetic report consultations on three of our genetic health risk reports.

These consuplications can help customers better understand the potential impact of their genetic risk profile and discuss the next steps.

Speaker 4: These consuplications can help customers better understand the potential impact of their genetic risk profile and discuss the next steps.

Anne Wojcicki: These conplications can help customers better understand the potential impact of their genetic risk profile and discuss the next steps.

This is just the start of our efforts in this area, and I'm excited about the broader suite of services we plan to introduce later this year.

Speaker 8: This is just the start of our efforts in this area, and I'm excited about the broader suite of services we plan to introduce later this year.

Anne Wojcicki: This is just the start of our efforts in this area, and I'm excited about the broader suite of services we plan to introduce later this year.

A few notable milestones on the consumer sideite include a recent expansion of our 23 PL membership service to customers in the U K and Canada.

Speaker 9: A few notable milestones on the consumer sideite include a recent expansion of our 23 PL membership service to customers in the U K and Canada.

Anne Wojcicki: A few notable milestones on the consumer side include a recent expansion of our 23andMe plus membership service to customers in the U.K. and Canada.

This service offers insightzing features to give members even more actionable information. To live healthier lies.

Speaker 5: This service offers insightzing features to give members even more actionable information. To live healthier lies.

Anne Wojcicki: The service offers insights and features to give members even more actionable information to live healthier lives.

We also launched three new reports for customers. Subscribe to 23 me -plus bring the total reports available to over sixty.

Speaker 4: We also launched three new reports for customers. Subscribe to 23 me -plus bring the total reports available to over sixty.

Anne Wojcicki: We also launched three new reports for customers subscribed to 23andMe plus bringing the total reports available to over sixty.

The new reports released the last quarter included skin cancer, the verticuitis report, irritable ball syer report.

Speaker 9: The new reports released the last quarter included skin cancer, the verticuitis report, irritable ball syer report.

Anne Wojcicki: The new reports released the last quarter included skin cancer, the diverticularitis report, irritable bowel syndrome report.

On the therapeutic side of our business. We believe we have an advantage in drug target validation and drug development because we have the world's largest crowdssource platform for genic research.

Speaker 15: On the therapeutic side of our business. We believe we have an advantage in drug target validation and drug development because we have the world's largest crowdssource platform for genic research.

Anne Wojcicki: On the therapeutic side of our business, we believe we have an advantage in drug target validation and drug development because we have the world's largest crowd source platform for genetic research.

Drug development is frought with failure. About 90% of drugs in development faales to become commercial medicines.

Speaker 4: Drug development is frought with failure. About 90% of drugs in development faales to become commercial medicines.

Anne Wojcicki: Drug development is fraught with failure. About 90% of drugs in development fail to become commercial medicines.

However studies have shown that drugs developed on genetically validated targets are twice as likely to succeed, and all of our targets are validated using unique- our unique genetic database containing tens of thousands of genetic associations with disney phenotypes.

Speaker 5: However studies have shown that drugs developed on genetically validated targets are twice as likely to succeed, and all of our targets are validated using unique- our unique genetic database containing tens of thousands of genetic associations with disney phenotypes.

Anne Wojcicki: However studies have shown that drugs developed on genetically validated targets are twice as likely to succeed, and all of our targets are validated using unique- our unique genetic database containing tens of thousands of genetic associations with disease phenotypes.

Our research platform has generated more than 200 publications on the genetic underpinnings of a wide range of diseases, conditions and traits, and review this research platform to create a pipeline of more than 50 programs, with two now in Phase I clinical trials.

Speaker 4: Our research platform has generated more than 200 publications on the genetic underpinnings of a wide range of diseases, conditions and traits, and review this research platform to create a pipeline of more than 50 programs, with two now in Phase I clinical trials.

Anne Wojcicki: Our research platform has generated more than 200 publications on the genetic underpinnings of a wide range of diseases, conditions and traits, and review of this research platform to create a pipeline of more than 50 programs, with two now in Phase I clinical trials.

We believe that the therapeutics which come out of our discovery engine will eventually playag a significant role in helping people benefit from the human genome.

Speaker 12: We believe that the therapeutics which come out of our discovery engine will eventually playag a significant role in helping people benefit from the human genome.

Anne Wojcicki: We believe that the therapeutics which come out of our discovery engine will eventually play a significant role in helping people benefit from the human genome.

With the combination of our personal genome service, our new genomic health services and our efforts to develop new therapeutics based on genetically validated targets, we believe we are poised to accomplish the full measure of our mission.

Speaker 17: With the combination of our personal genome service, our new genomic health services and our efforts to develop new therapeutics based on genetically validated targets, we believe we are poised to accomplish the full measure of our mission.

Anne Wojcicki: With the combination of our personal genome service, our new genomic health services and our efforts to develop new therapeutics based on genetically validated targets, we believe we are poised to accomplish the full measure of our mission.

I now turn the call over to kenna to discuss our therapeutics program.

Speaker 12: I now turn the call over to kenna to discuss our therapeutics program.

And fan here at 23 and me, we are passionate about our customer-driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and ultimately benefit patients.

Speaker 18: And fan here at 23 and me, we are passionate about our customer-driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and ultimately benefit patients.

Anne Wojcicki: I'd now turn the call over to Kenneth to discuss our therapeutics program.

Kenneth J. Hillan: Thanks, Anne. Here at 23andMe, we are passionate about our customer-driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and ultimately benefit patients.

Our database is the world's largest crowsource platform for health-related genetic research and has the potential to offer unique insights about diseasase and how they can be treated.

Speaker 19: Our database is the world's largest crowsource platform for health-related genetic research and has the potential to offer unique insights about diseasase and how they can be treated.

Kenneth J. Hillan: Our database is the world's largest crowd sourced platform for health-related genetic research and has the potential to offer unique insights about diseases and how they can be treated.

With this resource, we have the opportunity to understand how changes in a gene affect our risk of disease. This is a very powerful way to identify drug targets, and it has been shown that targets backed by human genetic evidence have a significantly higher chance of becoming medicines than those that do not.

Speaker 20: With this resource, we have the opportunity to understand how changes in a gene affect our risk of disease. This is a very powerful way to identify drug targets, and it has been shown that targets backed by human genetic evidence have a significantly higher chance of becoming medicines than those that do not.

Kenneth J. Hillan: With this resource, we have the opportunity to understand how changes in a gene affect our risk of disease.

Kenneth J. Hillan: This is a very powerful way to identify drug targets, and it has been shown that targets backed by human genetic evidence have a significantly higher chance of becoming medicines than those that do not.

Our investment this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business.

Speaker 19: Our investment this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business.

Kenneth J. Hillan: Our investment this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business.

These include advancing 23 and me 16, our first whollyuon program into the clinic.

Speaker 21: These include advancing 23 and me 16, our first whollyuon program into the clinic.

Kenneth J. Hillan: These include: advancing 23andMe 610, our first wholly owned program into the clinic.

six 10 is an antibody that targets the CD 201 protein, which is an important regulator of both T-cell and miloid cell function.

Speaker 19: six 10 is an antibody that targets the CD 201 protein, which is an important regulator of both T-cell and miloid cell function.

Kenneth J. Hillan: 610 is an antibody that targets the CD200 R1 protein, which is an important regulator of both T-cell and myeloid cell function.

Cd 200 R one was identified as a promising immuno-oncology targets from our proprietary genetic immuno-oncology signature that we developed using our large database of genetically linked phenotypes.

Speaker 19: Cd 200 R one was identified as a promising immuno-oncology targets from our proprietary genetic immuno-oncology signature that we developed using our large database of genetically linked phenotypes.

Kenneth J. Hillan: CD200 R1 was identified as a promising immuno-oncology target from our proprietary genetic immuno-oncology signature that we developed using our large database of genetically linked phenotypes.

We presented data on this program at this year's ACR conference in March.

Speaker 19: We presented data on this program at this year's ACR conference in March.

Kenneth J. Hillan: We presented data on this program at this year's AACR conference in March.

Gsk is continuing to advance- GSK six zero eight in the clinic, with plans to touch this antibody targeting CD 96 in combination with multiple other immunooncology drugs.

Speaker 19: Gsk is continuing to advance- GSK six zero eight in the clinic, with plans to touch this antibody targeting CD 96 in combination with multiple other immunooncology drugs.

Kenneth J. Hillan: GSK is continuing to advance GSK 608 in the clinic, with plans to test this antibody targeting CD 96 in combination with multiple other immuno-oncology drugs.

We elected our option earlier this year to transition to a royalty state in the year of continuing to share cost and profits.

Speaker 19: We elected our option earlier this year to transition to a royalty state in the year of continuing to share cost and profits.

Kenneth J. Hillan: We elected our option earlier this year to transition to a royalty state in lieu year of continuing to share cost and profits.

And finally, GSK also exercised their auptction to extend our discovery collaboration for a further year, for an additional $5 million.

Speaker 19: And finally, GSK also exercised their auptction to extend our discovery collaboration for a further year, for an additional $5 million.

Kenneth J. Hillan: And finally, GSK also exercised their option to extend our discovery collaboration for a further year, for an additional $50 million.

This decision demonstrates gk's enthusiasm for our collabperation and the value of our database provides for identifying and advancing new medicines based on human genetics.

Speaker 21: This decision demonstrates gk's enthusiasm for our collabperation and the value of our database provides for identifying and advancing new medicines based on human genetics.

Kenneth J. Hillan: This decision demonstrates GSK's enthusiasm for our collaboration and the value of our database provides for identifying and advancing new medicines based on human genetics.

Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over our 50 rputy targets and jointly advanced one program into clinical development.

Speaker 19: Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over our 50 rputy targets and jointly advanced one program into clinical development.

Kenneth J. Hillan: Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over 50 therapeutic targets and jointly advanced one program into clinical development.

As we move into this next fiscal year we plan to continue to advance 23 in me 6, 10 in clinical development.

Speaker 19: As we move into this next fiscal year we plan to continue to advance 23 in me 6, 10 in clinical development.

Kenneth J. Hillan: As we move into this next fiscal year, we plan to continue to advance 23andMe 610 in clinical development, to progress new candidates in research and preclinical development and to identify new drug targets from our database as the number of genotype customers and associated phenotypic data continues to grow.

To progress new candidates in research and preclinical development and to identify new drug targets from our database, as the number of genunope customers and associated phhooificic data continues to grow.

Speaker 19: To progress new candidates in research and preclinical development and to identify new drug targets from our database, as the number of genunope customers and associated phhooificic data continues to grow.

Speaker 7: To progress new candidates in research and preclinical development and to identify new drug targets from our database, as the number of genunope customers and associated phhooific data continues to grow.

We believe our growing understanding of humanum genetics and biology can result in significant value for patients.

Speaker 21: We believe our growing understanding of humanum genetics and biology can result in significant value for patients.

Kenneth J. Hillan: We believe our growing understanding of human genetics and biology can result in significant value for patients. Now I'll turn it over to Steve to review our financial results.

Now I'll turn it over to Steve to review our financial results.

Speaker 19: Now I'll turn it over to Steve to review our financial results.

Thanks kind of.

Speaker 22: Thanks kind of.

Fiscal year 2022 was a transitional year for 23 and me.

Speaker 23: Fiscal year 2022 was a transitional year for 23 and me.

Steve Schoch: Thanks, Kenneth. Fiscal year 2022 was a transitional year for 23andMe.

It was highlighted by our public listening in June 2021, followed in November by the strategically important acquisition of lemonade health, which now underpins our planned introduction of a genomic health service, as andne discussed earlier.

Speaker 24: It was highlighted by our public listening in June 2021, followed in November by the strategically important acquisition of lemonade health, which now underpins our planned introduction of a genomic health service, as andne discussed earlier.

Steve Schoch: It was highlighted by our public listening in June 2021, followed in November by the strategically important acquisition of Lemonaid Health, which now underpins our planned introduction of a genomic health service, as Anne discussed earlier.

While those were milestone accomplishments for the company, our existing day-to-day operations also made great progress.

Speaker 25: While those were milestone accomplishments for the company, our existing day-to-day operations also made great progress.

Steve Schoch: While those were milestone accomplishments for the company, our existing day-to-day operations also made great progress.

During fiscal 2022, our personal genomic service, or PGs business, increased our customer count by one point five million genotype customers, or 13% to 12.8 million.

Speaker 26: During fiscal 2022, our personal genomic service, or PGs business, increased our customer count by one point five million genotype customers, or 13% to 12.8 million.

Steve Schoch: During fiscal 2022, our personal genomic service, or PGS business, increased our customer count by one point five million genotype customers, or 13% to 12.8 million, significantly extending our competitive data advantage.

Significantly extending our competitive data advantage.

Speaker 26: Significantly extending our competitive data advantage.

In addition, our acting subscriber base in 23 meet plus grew from 125 thousand to 425 thousand, contributing meaningfully to revenue and gross margin while also improving on our average customer economics.

Speaker 26: In addition, our acting subscriber base in 23 meet plus grew from 125 thousand to 425 thousand, contributing meaningfully to revenue and gross margin while also improving on our average customer economics.

Speaker 8: Significantly extending our competitive data advantage.

Steve Schoch: In addition, our active subscriber base in 23andMe Plus grew from 125,000 to 425,000, contributing meaningfully to revenue and gross margin while also improving on our average customer economics.

Our investments in our therapeutics portfolio have increased our pipeline to more than 50 programs, as kenth has told you, and we move to second 23 and me valid dated program into the clinic.

Speaker 26: Our investments in our therapeutics portfolio have increased our pipeline to more than 50 programs, as kenth has told you, and we move to second 23 and me valid dated program into the clinic.

Steve Schoch: Our investments in our therapeutics portfolio have increased our pipeline to more than fifty programs, as Kenneth has told you, and we move to second 23andMe valid dated program into the clinic.

Our research services business will be sustained by gk's election in January to remain our exclusive data partner for a fifth contract year.

Speaker 26: Our research services business will be sustained by gk's election in January to remain our exclusive data partner for a fifth contract year.

Steve Schoch: Our research services business will be sustained by GSK's election in January to remain our exclusive data partner for a fifth contract year, which starts in July of 2022 and comes with a $50 million payment, which has doubled the previous annual payment.

Which starts in July of 2022 and comes with a $5 million payment, which has doubled the previous annual payment.

Speaker 26: Which starts in July of 2022 and comes with a $5 million payment, which has doubled the previous annual payment.

Speaker 8: which starts in July of 2022 and comes with a $50 million payment, which has doubled the previous annual payment.

This extension is a clear signal of the increased value in our data platform and the insights it can produce.

Speaker 26: This extension is a clear signal of the increased value in our data platform and the insights it can produce.

Steve Schoch: This extension is a clear signal of the increased value in our data platform and the insights it can produce.

All in all, this was a very productive year strategically and operationally, and we continue to build real value.

Speaker 26: All in all, this was a very productive year strategically and operationally, and we continue to build real value.

Steve Schoch: All in all, this was a very productive year strategically and operationally, and we continue to build real value.

Now let's turn to financial performance.

Speaker 26: Now let's turn to financial performance.

We will start off by noting that our 12 -month results for the year-endended March thirty-first, twentthousand and 22 were within our previously issued financial guidance ranges.

Speaker 26: We will start off by noting that our 12 -month results for the year-endended March thirty-first, twentthousand and 22 were within our previously issued financial guidance ranges.

Steve Schoch: Now, let's turn to financial performance. We will start off by noting that our 12 month results for the year-ended March 31st, 2022 were within our previously issued financial guidance ranges.

Our revenue for the three and 12 months ended March thirty-first twent thousand and 22 was $101.000272 trillion respectively.

Speaker 27: Our revenue for the three and 12 months ended March thirty-first twent thousand and 22 was $101.000272 trillion respectively.

Steve Schoch: Our revenue for the three and 12 months ended March 31st, 2022 were $101 million and $272 million respectively, representing increases of 14% and 11% respectively over the same periods in the prior year.

Representing increases of 14% and 11% respectively over the same periods in the prior year.

Speaker 26: Representing increases of 14% and 11% respectively over the same periods in the prior year.

Speaker 8: representing increases of 14% and 11% respectively over the same periods in the prior year.

Fourth quarter revenue growth was primarily due to the inclusion of three months of telehealth revenue and higher research services revenue versus the prior year period.

Speaker 26: Fourth quarter revenue growth was primarily due to the inclusion of three months of telehealth revenue and higher research services revenue versus the prior year period.

Steve Schoch: Fourth quarter revenue growth was primarily due to the inclusion of three months of telehealth revenue and higher research services revenue versus the prior year period.

These increases were partially offset by lower PGs revenue.

Speaker 26: These increases were partially offset by lower PGs revenue.

12 -month revenue growth was primarily driven by the inclusion of five -months of telehealth revenue and by increased subscription and research services revenue.

Speaker 26: 12 -month revenue growth was primarily driven by the inclusion of five -months of telehealth revenue and by increased subscription and research services revenue.

Steve Schoch: These increases were partially offset by lower PGS revenue.

Steve Schoch: 12 -month revenue growth was primarily driven by the inclusion of five months of telehealth revenue and by increased subscription and research services revenue.

Looking at the composition of our revenue, consumer services revenue, which includes both our PGs and artela health services, represented approximately 83% of total revenue for the three months and 82% of total revenue for the 12 months ended March thirty-first 2022. and research services revenue, which was substantially all from the GSK collaboration, accounted for approximately 17% of total revenue for the three months and 18% of total revenue for the 12 months ended March thirty-first 2022.

Speaker 22: Looking at the composition of our revenue, consumer services revenue, which includes both our PGs and artela health services, represented approximately 83% of total revenue for the three months and 82% of total revenue for the 12 months ended March thirty-first 2022. and research services revenue, which was substantially all from the GSK collaboration, accounted for approximately 17% of total revenue for the three months and 18% of total revenue for the 12 months ended March thirty-first 2022.

Steve Schoch: Looking at the composition of our revenue, consumer services revenue, which includes both our PGS and our telehealth services, represented approximately 83% of total revenue for the three months and 82% of total revenue for the 12 months ended March 31st, 2022, and research services revenue, which was substantially all from the GSK collaboration, accounted for approximately 17% of total revenue for the three months and 18% of total revenue for the 12 months ended March 31st, 2022.

Our gross profit for the three and 12 months ended March thirty-first 2022, with 47 million and the hundred and $33 million respectively, representing a 6% and 14% increase over the same periods in the prior year.

Speaker 27: Our gross profit for the three and 12 months ended March thirty-first 2022, with 47 million and the hundred and $33 million respectively, representing a 6% and 14% increase over the same periods in the prior year.

Steve Schoch: Our gross profit for the three and 12 months ended March 31st, 2022 was $47 million and the hundred and $133 million respectively, representing a 6% and 14% increase over the same periods in the prior year.

theimprovement in fourth quarter. Gross profit was driven by the increased revenues previously mentioned, while the 12 -month period additionally benefited from cost efficiencies within PGs cost of sales.

Speaker 26: theimprovement in fourth quarter. Gross profit was driven by the increased revenues previously mentioned, while the 12 -month period additionally benefited from cost efficiencies within PGs cost of sales.

Steve Schoch: The improvement in fourth quarter gross profit was driven by the increased revenues previously mentioned, while the 12 month period additionally benefited from cost efficiencies within PGS cost of sales.

Operating expenses for the three and 12 months ended March thirty-first 2022 were one hundred and seventeen million and three hundred and seven $87 million respectively, compared to one hundred and 12 million and three hundred and two million dollars for the same period the prior year.

Speaker 1: Operating expenses for the three and 12 months ended March thirty-first 2022 were one hundred and seventeen million and three hundred and seven $87 million respectively, compared to one hundred and 12 million and three hundred and two million dollars for the same period the prior year.

Steve Schoch: Operating expenses for the three and 12 months ended March 31st, 2022, were $117 million and $387 million respectively, compared to $112 million and $302 million dollars for the same periods the prior year. The increase in operating expenses for both periods was attributable to several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGS business, the addition of telehealth operational expenses, increased therapeutics related research and development expenses, a one-time net litigation settlement payment and, in the case of the 12 -month period, one-time transaction costs associated with the acquisition of Lemonaid health.

The increase in operating expenses for both periods was attributable.

Speaker 26: The increase in operating expenses for both periods was attributable.

To several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGs business.

Speaker 26: To several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGs business.

The addition of telehealth operational expenses.

Speaker 26: The addition of telehealth operational expenses.

Increased therapeutics related research and development expenses.

Speaker 26: Increased therapeutics related research and development expenses.

Speaker 8: The addition of telehealth operational expenses, increased therapeutics related research and development expenses, A one-time net litigation settlement payment and, in the case of the 12 -month period, one-time transaction costs associated with the acquisition of Lemonaid health.

A onetime net litigation settlement payment and, in the case of the 12 -month period, onetime transaction costs associated with the acquisition of lemonade health.

Speaker 26: A onetime net litigation settlement payment and, in the case of the 12 -month period, onetime transaction costs associated with the acquisition of lemonade health.

Speaker 8: A one-time net litigation settlement payment and, in the case of the 12 -month period, one-time transaction costs associated with the acquisition of Lemonaid health.

Looking at the bottom line, net loss for the three and 12 -month periods ended March thirty-first, twent thousand and 22 was $70.000217 trillion respectively, compared to net losses for the same period in the prior year of $67.000184 trillion respectively.

Speaker 22: Looking at the bottom line, net loss for the three and 12 -month periods ended March thirty-first, twent thousand and 22 was $70.000217 trillion respectively, compared to net losses for the same period in the prior year of $67.000184 trillion respectively.

Steve Schoch: Looking at the bottom line, net loss for the three and 12 month periods ended March 31st, 2022 was $70 million and $217 million respectively, compared to net losses for the same period in the prior year of $67 million and $184 million respectively.

The increase in net loss for the three and 12 -mon periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 -month period, by a favorable change in fair value of warrant liabilities of thirty-three million.

Speaker 26: The increase in net loss for the three and 12 -mon periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 -month period, by a favorable change in fair value of warrant liabilities of thirty-three million.

Steve Schoch: The increase in net loss for the three and 12 month periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 month period, by a favorable change in fair value of warrant liabilities of $33 million.

Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Speaker 22: Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Steve Schoch: Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Total adjusted EBITDA for the three and 12 months ended March thirty-first 2022 was a deficit of $30.000151 trillion respectively, compared to deficits for the same period in the prior year of $11.000077 trillion respectively.

Speaker 22: Total adjusted EBITDA for the three and 12 months ended March thirty-first 2022 was a deficit of $30.000151 trillion respectively, compared to deficits for the same period in the prior year of $11.000077 trillion respectively.

Steve Schoch: Total adjusted EBITDA for the three and 12 months ended March 31, 2022 was a deficit of $30 million and $151 million respectively, compared to deficits for the same period in the prior year of $11 million and $77 million respectively.

The increase in total adjusted EBITDA DEA was driven primarily by the increase in operating expenses mentioned previously.

Speaker 26: The increase in total adjusted EBITDA DEA was driven primarily by the increase in operating expenses mentioned previously.

Steve Schoch: The increase in total adjusted EBITDA DEA was driven primarily by the increase in operating expenses mentioned previously.

Looking specifically at the adjusted EBITDA for the three and 12 months ended March thirty-first 2022, for the consumer and research services segmentwe saw a surplus of three million dollars for the fourth quarter and a deficit of $3 million for the full year, compared to surpluses in the same periods in the prior year of $18.000013 trillion respectively.

Speaker 22: Looking specifically at the adjusted EBITDA for the three and 12 months ended March thirty-first 2022, for the consumer and research services segmentwe saw a surplus of three million dollars for the fourth quarter and a deficit of $3 million for the full year, compared to surpluses in the same periods in the prior year of $18.000013 trillion respectively.

Steve Schoch: Looking specifically at the adjusted EBITDA for the three and 12 months ended March 31st, 2022, for the consumer and research services segment, we saw a surplus of three million dollars for the fourth quarter and a deficit of $30 million for the full year compared to surpluses in the same periods in the prior year of $18 million and $13 million respectively. We note that quarterly adjusted EBITDA for the consumer and research services segment has exhibited seasonable variation, just as the segment's top line does and is impacted by factors including PGS revenue recognition, timing and the pattern of our media spending, which was varied over time. For this reason, we focus managerially on our full year adjusted EBITDA performance.

We note that quarterly adjusted EBITDA for the consumer and research services segment has exhibited seasonable variation.

Speaker 26: We note that quarterly adjusted EBITDA for the consumer and research services segment has exhibited seasonable variation.

Just as the segment's top line does.

Speaker 3: Just as the segment's top line does.

And is impacted by factors including TGS, revenue recognition, timing and the pattern of our media spending, which was varied over time. For this reason, we focus managerally on our full year adjusted EBITDA performance.

Speaker 3: And is impacted by factors including TGS, revenue recognition, timing and the pattern of our media spending, which was varied over time. For this reason, we focus managerally on our full year adjusted EBITDA performance.

Speaker 8: and is impacted by factors including PGS revenue recognition, timing and the pattern of our media spending, which was varied over time. For this reason, we focus managerially on our full year adjusted EBITDA performance.

The full year adjusted 2022 EBITDA deficit in this consumer and research services segment versus prior year surplus was driven primarily by the previously mentioned increase in sales and marketing expensesus, as well as the impact from inclusion of five months of telehealth results.

Speaker 3: The full year adjusted 2022 EBITDA deficit in this consumer and research services segment versus prior year surplus was driven primarily by the previously mentioned increase in sales and marketing expensesus, as well as the impact from inclusion of five months of telehealth results.

Steve Schoch: The full year adjusted 2022 EBITDA deficit in this consumer and research services segment versus prior year surplus was driven primarily by the previously mentioned increase in sales and marketing expenses, as well as the impact from inclusion of five months of telehealth results.

We will continue to work towards returning the consumer and research services segment to cash flow breakeven and above over time, as we expand our consumer office offerings with our new genomic health services.

Speaker 26: We will continue to work towards returning the consumer and research services segment to cash flow breakeven and above over time, as we expand our consumer office offerings with our new genomic health services.

Steve Schoch: We will continue to work towards returning the consumer and research services segment to cash flow break even and above over time, as we expand our consumer office- offerings with our new genomic health services.

We ended the quarter with a solid balance sheet, including $553 million in cash, which provides us with sufficient capital to continue to advance both segments.

Speaker 1: We ended the quarter with a solid balance sheet, including $553 million in cash, which provides us with sufficient capital to continue to advance both segments.

Steve Schoch: We ended the quarter with a solid balance sheet, including $553 million in cash, which provides us with sufficient capital to continue to advance both segments.

Now let's turn to our updated guidance.

Speaker 3: Now let's turn to our updated guidance.

Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial markets.

Speaker 27: Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial markets.

Steve Schoch: Now let's turn to our updated guidance. Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial markets. Within the existing consumer businesses of PGS and telehealth, we are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth. For those business segments expected to drive future growth, which include the company's new genomic health services and our therapeutics business, we plan to focus on the most strategically and financially valuable options and best appropriately in each.

Within the existing consumer businesses of PGs telehealth. We are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth.

Speaker 27: Within the existing consumer businesses of PGs telehealth. We are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth.

For those business segments expected to drive future growth, which include the company's new genomic health services and our therapeutics business, we plan to focus on the most strategically and financially valuable options and invest appropriately in each.

Speaker 3: For those business segments expected to drive future growth, which include the company's new genomic health services and our therapeutics business, we plan to focus on the most strategically and financially valuable options and invest appropriately in each.

Because the new genomic health service is not anticipated to fully launch until later in the fiscal year, we do not foresee meaningful revenue contribution from these new consumer products and services within fiscal year 2020. -three.

Speaker 3: Because the new genomic health service is not anticipated to fully launch until later in the fiscal year, we do not foresee meaningful revenue contribution from these new consumer products and services within fiscal year 2020. -three.

Steve Schoch: Because the new genoma health service is not anticipated to fully launch until later in the fiscal year, we do not foresee meaningful revenue contribution from these new consumer products and services within fiscal year 2023. As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, versus only five months in fiscal year 2022, as well as including the current and anticipated effects of general inflation uncertain of our costs. With that is background we are projecting full year revenue revenue for fiscal year 2023, which will end on March 31st of 2023, to be in the range of $260 to $280 million.

As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, vers's since only five months in fiscal year 2020 -two.

Speaker 3: As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, vers's since only five months in fiscal year 2020 -two.

As well as including the current and anticipated effects of general inflation on certain of our costs.

Speaker 3: As well as including the current and anticipated effects of general inflation on certain of our costs.

With that is background we are projecting full year revenue revenue for fiscal year 2020 -three and.

Speaker 2: With that is background we are projecting full year revenue revenue for fiscal year 2020 -three and.

Which will end on March thirty-first of 2023, to be in the range of 260 to $28 million.

Speaker 3: Which will end on March thirty-first of 2023, to be in the range of 260 to $28 million.

Speaker 8: which will end on March 31st of 2023, to be in the range of $260 to $280 million.

We are projecting full year GAAP net loss to be in the range of 350 to $37 million.

Speaker 27: We are projecting full year GAAP net loss to be in the range of 350 to $37 million.

Steve Schoch: We are projecting full year GAAP net loss to be in the range of $350 million to $370 million.

And finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of 195 to $215 million.

Speaker 26: And finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of 195 to $215 million.

Steve Schoch: And finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of $195 million to $215 million.

With that, I will now turn the call back over to an.

Speaker 2: With that, I will now turn the call back over to an.

Thank you, Steve. As you can see, we have a big agenda for the coming year. We are excited for the challenge and for the opportunity.

Speaker 28: Thank you, Steve. As you can see, we have a big agenda for the coming year. We are excited for the challenge and for the opportunity.

Multiple speakers: With that, I will now turn the call back over to Anne. Thank you, Steve.

Anne Wojcicki: As you can see, we have a big agenda for the coming year. We are excited for the challenge and for the opportunity. Our success in this endeavor is a win for millions of people.

Our success in this endeavor is a win for millions of people.

Speaker 9: Our success in this endeavor is a win for millions of people.

Now let's open it up for question.

Speaker 12: Now let's open it up for question.

At this plan. To ask the question, please press star one or your touchst phone and if you would like to get out of the Cube, please press the poundkey once again. That Star one for questions, St one

Speaker 1: At this plan. To ask the question, please press star one or your touchst phone and if you would like to get out of the Cube, please press the poundkey once again. That Star one for questions, St one

Anne Wojcicki: Now, let's open it up for questions.

Operator: At this time, to ask the question, please press star one on your touchstone phone. If you like to get out of the queue please press the pound key. Once again, that's star one for questions, star one. Our first question will come from the line of Tiago Fauth from Credit Suisse. Your line is open.

First question, councselline. Tiago, felt from quite a swweice. Your line is open.

Speaker 1: First question, councselline. Tiago, felt from quite a swweice. Your line is open.

partic looking the question, So just two quick ones for me. So the first one is just on cash run expectations for 23 or perhaps your current cash position, and how much runway does that valueyou given the current operational plan?

Speaker 29: partic looking the question, So just two quick ones for me. So the first one is just on cash run expectations for 23 or perhaps your current cash position, and how much runway does that valueyou given the current operational plan?

Multiple speakers: Thanks for taking the questions. So just two quick ones for me. So the first one is just on cash run expectations for 2023, or perhaps your current cash position, and how much runway does that buy you given the current operational plan? And I have a couple of questions on the therapeutic side. Just any thoughts on any read through from the <unk> readout across the space to the CD 96 asset and any expectations about positional programs, perhaps entering clinic now that you have 50 active programs? I know it's hard to have visibility, but what could be a reasonable base going forward? Thank you. Thanks, Thiago. Let me hand that one to Steve to answer the first part and obviously Kenneth for the second.

I have a couple of questions on the ther arepepututic sides. Just talks on any readthrough from the centinteit, a readout across the space to the CD 96, asset. And then expectation is about additional programs, perhaps entering clinic. Now that you have 50 active programs. No, it's hard to have visibility, but what could be a reasonable base going forward? Thank you.

Speaker 30: I have a couple of questions on the ther arepepututic sides. Just talks on any readthrough from the centinteit, a readout across the space to the CD 96, asset. And then expectation is about additional programs, perhaps entering clinic. Now that you have 50 active programs. No, it's hard to have visibility, but what could be a reasonable base going forward? Thank you.

Thanks Diego. Let me hand that to Steve to answer the first part in obviously, kennea for the second.

Speaker 4: Thanks Diego. Let me hand that to Steve to answer the first part in obviously, kennea for the second.

Yes sure So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA operating cash flow guidance ofone 95 to to 15 and it gives you a sense of kind of what that runway is in terms of if that were the sustained kind of burn rate for the next couple of years and so you can kind of look at that. We we only give guidance for this one year on that front but more generally I would say this.

Speaker 2: Yes sure So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA operating cash flow guidance ofone 95 to to 15 and it gives you a sense of kind of what that runway is in terms of if that were the sustained kind of burn rate for the next couple of years and so you can kind of look at that. We we only give guidance for this one year on that front but more generally I would say this.

Steve Schoch: Yes, sure. So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA, the operating cash flow guidance of $195 million to $215 million and it gives you a sense of kind of what that runway is in terms of if that were the sustained kind of burn rate for the next couple of years and so you can kind of look at that. We only give guidance for this one year on that front. But more generally, I would say this configuration gives us a certain amount of time flexibility as we think about funding the company in the future and I think, even though we do have some benefit of time we're- as appropriate- we'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and that's it's kind of the way we're looking at it right now.

Configuration gives us a certain amount of time, flexibility as we think about funding the company in the future and, I think, even though we do have some benefit of timewere as appropriate.

Speaker 3: Configuration gives us a certain amount of time, flexibility as we think about funding the company in the future and, I think, even though we do have some benefit of timewere as appropriate.

Speaker 8: configuration gives us a certain amount of time flexibility as we think about funding the company in the future and I think, even though we do have some benefit of time we're- as appropriate-

We'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and has a kind of the way we're looking at it right now.

Speaker 3: We'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and has a kind of the way we're looking at it right now.

Speaker 8: we'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and that's it's kind of the way we're looking at it right now.

Thank made yes, sure thanks, and teaggo, maybe I can just talk first of all just I think you re asked about kind of recent data. one of the pieces of data was Roche report data, further antiigit antibody both in a trial and small lung cancer, and then a second trial and non the lung cancer, that small cell lung cancertrial. That was a negative study in the N small cell lung cancer. The study, you know, didn't need it's coprary endpoint of progression, free survival. So it's clearly, I think, a bit of a disappointment there. The Roche did see it's obviously hard to interpret, but did did say that this first analysis o data was a mature. The study is continuing and they also not. There was a numerical improvement in both of the co primaryendpoint. So I think we'lljust have to wait and see how that data continues to emerge.

Speaker 1: Thank made yes, sure thanks, and teaggo, maybe I can just talk first of all just I think you re asked about kind of recent data. one of the pieces of data was Roche report data, further antiigit antibody both in a trial and small lung cancer, and then a second trial and non the lung cancer, that small cell lung cancertrial. That was a negative study in the N small cell lung cancer. The study, you know, didn't need it's coprary endpoint of progression, free survival. So it's clearly, I think, a bit of a disappointment there. The Roche did see it's obviously hard to interpret, but did did say that this first analysis o data was a mature. The study is continuing and they also not. There was a numerical improvement in both of the co primaryendpoint. So I think we'lljust have to wait and see how that data continues to emerge.

Kenneth J. Hillan: Thanks, Steve. Yes. Sure- thanks, Anne. And Tiago, maybe I can just talk- First of all, just I think you asked about kind of recent data. You know, one of the pieces of data was Roche report data, further antigen, antibody, both in a trial in small cell lung cancer and then a second trial and non-small cell lung cancer. That small cell lung cancer trial that was a negative study. In the non-small cell lung cancer the study, as you know, didn't meet its co-primary endpoint of progression free survival. So it's clearly, I think, a bit of a disappointment there. Roche did say- it's obviously hard to interpret but they did say that this first analysis data was immature. The study is continuing and they also noted there was a numerical improvement in both of the co-primary endpoints. So I we'll just have to wait and see how that data continues to emerge.

In terms of what that means for the CD 96 program. As you know, from our immuno-oncology signature the genetics and that path way are around CD 2, six and so one of the things that gk had invested in- not just the collaboration program we had with M one C ninety 6, but also in antiigit antibodies with itos and then also an anttpv rig antibody with the surface oncology and I think one of the potentiial interesting things is the ability to really drug multiple parts of that pathway. The CD ited antibody, as you know, continues in Phase one gk is now leading that and they will really be responsible for communication plans moving forward. But hopefully that somebody helpful.

Speaker 19: In terms of what that means for the CD 96 program. As you know, from our immuno-oncology signature the genetics and that path way are around CD 2, six and so one of the things that gk had invested in- not just the collaboration program we had with M one C ninety 6, but also in antiigit antibodies with itos and then also an anttpv rig antibody with the surface oncology and I think one of the potentiial interesting things is the ability to really drug multiple parts of that pathway. The CD ited antibody, as you know, continues in Phase one gk is now leading that and they will really be responsible for communication plans moving forward. But hopefully that somebody helpful.

Kenneth J. Hillan: In terms of what that means for the CD 96 program, as you know, from our immuno-oncology signature the genetics in that path way are around CD 226 and so one of the things that GSK had invested in- not just the collaboration program we had with them on CD 96 but also in <unk> antibodies with itos and then also an anti-pv rig antibody with the surface oncology, and I think one of the potentially interesting things is the ability to really drug multiple parts of that pathway. The CD 96 antibody, as you know, continues in phase one. GSK is now leading that and they will really be responsible for communication plans moving forwards, but hopefully that summary's helpful.

D of themmics has appreciate them thanks.

Speaker 31: D of themmics has appreciate them thanks.

And then you asked about kind of where things were in the pipeline. Again, in part because of the GSK collaboration, there's not a great deal that we can say about programs that oxious we do have. So we've identified 60 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing to advance those. But we have to provided any further guidance and when we would expect next and D or next ase one program we're really working very hard on, very excited about the TD 200 did our one program, which is starting ase one studies in January of this year.

Speaker 19: And then you asked about kind of where things were in the pipeline. Again, in part because of the GSK collaboration, there's not a great deal that we can say about programs that oxious we do have. So we've identified 60 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing to advance those. But we have to provided any further guidance and when we would expect next and D or next ase one program we're really working very hard on, very excited about the TD 200 did our one program, which is starting ase one studies in January of this year.

Multiple speakers: Yeah, no, that makes sense. Appreciate that, thanks. And then you asked about kind of where things were in the pipeline. Again, in part because of the GSK collaboration there's not a great deal that we can say about programs but obviously we do have- we've- So we've identified 50 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing to advance those. But we haven't provided any further guidance on when we would expect next IND or next phase one program. We're really working very hard on, and very excited about the CD 200 R1 program which is you starting phase one studies in January of this year. Got- no, that makes sense. Thanks again for taking the question.

Gu now that makes sense, but thanks for him for taking the question.

Speaker 27: Gu now that makes sense, but thanks for him for taking the question.

Do you earn? Next question and countryferenfort line of Daniel gross light from City. Your line is open.

Speaker 1: Do you earn? Next question and countryferenfort line of Daniel gross light from City. Your line is open.

Operator: Thank you. Our next question comes from the line of Daniel Grosslight from City. Your line is open.

Guys are taking the question can go back to guidance for 23 and helps kind of bridge some of these numbers for me. So it seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So So revenue at the midpoint is effectively flat, but it does also include a full year of elemonade revenue, So kind of that core organic revenue is going to be down for the year and then adjusted EBITDA loss is is also increasing by around five million for the midpoint. soit doesn't seem like you're getting the immediate impact of titrating some of the consumer growth down. So I assume that you know the. The increase in the loss is due to increased therapeutics and this new genomvic health service investment. But maybe if you could put a finer point on that and help bridge between the slowdown in revenue growth organically and the expansion of the loss and 23.

Speaker 32: Guys are taking the question can go back to guidance for 23 and helps kind of bridge some of these numbers for me. So it seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So So revenue at the midpoint is effectively flat, but it does also include a full year of elemonade revenue, So kind of that core organic revenue is going to be down for the year and then adjusted EBITDA loss is is also increasing by around five million for the midpoint. soit doesn't seem like you're getting the immediate impact of titrating some of the consumer growth down. So I assume that you know the. The increase in the loss is due to increased therapeutics and this new genomvic health service investment. But maybe if you could put a finer point on that and help bridge between the slowdown in revenue growth organically and the expansion of the loss and 23.

Daniel R. Grosslight: Hi, guys. Thanks for taking the question. If we can go back to guidance for 2023 and help kind of bridge some of these numbers for me. So it seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So, so revenue at the midpoint is effectively flat, but it does also include a full year of Lemonaid revenue, so kind of that core organic revenue is going to be down for the year. And then adjusted EBITDA loss is also increasing by around $50 million for the midpoint, so doesn't seem like you're getting the immediate impact of titrating some of the consumer growth down. So I assume that the the increase in the loss is due to increased therapeutics in this new genomic health service investment? But maybe you could put a finer point on that and help bridge between the slowdown in revenue growth organically and the expansion of the loss in 2023.

Absolutely let me hand the two deefirstyes for sure yes, So.

Speaker 27: Absolutely let me hand the two deefirstyes for sure yes, So.

Multiple speakers: Absolutely. Let me hand that to you, Steve, first. For sure. Yes, so, as you noted, the top line comes with both 12 months versus five months of this year of the top line of telehealth. It also comes with a full year of the bottom line of telehealth. So that's part of what gives rise to that difference and that's- that'll hit the consumer research services segment component of EBITDA and- and as you noted, we have a continually growing investment on the therapeutic side that's giving rise to part of that. The other thing that's going on here and is that we have- we have just the inflationary costs on our labor base, which is running at a higher rate in terms of merit and promo, all of those things across the entirety of the company during this inflationary time and so that's- that's going to run really throughout the the business. And so- and then in terms of like, specifically how the work that we'll do to launch the new products, while there will be some modest incremental hiring I think- I think the effects of actually getting that launch and getting that out there won't be as big of an impact. For instance, that is just taking on the 12 months of the telehealth business operating expenses and that sort of thing, so just to put those in relativity.

You know as you noted the top line comes with 12 months versus five months of this year of the top line of telehealth. It also comes with a full year the bottom line of telehe. So that's part of what gives rise to that difference and that's know that if the consumer ressearch services segment component of EBITDA and and and as you noted you know we have you know a continually growing you investment on the therapeutic side. That's giving rise to part of that the other thing that's going on here and is that we have you know we have just the inflationary costs on our labor base which you is running at a higher rate. Terms of MERIT promo all of those things across the entirety of the of the company during this inflationary time and so that's that's going to run really throughout the the business and so and then in terms of like specifically how the work that will do to launch the new products. While there will be some modest incremental hiring. You know I think I think the effects of actually getting that launch and getting that out there you know won't be as big impact. For instance. As just taking on the 12 months of the telehealth business you know operating expenses and that sort of thing. So just to put those in youin relativity.

Speaker 3: You know as you noted the top line comes with 12 months versus five months of this year of the top line of telehealth. It also comes with a full year the bottom line of telehe. So that's part of what gives rise to that difference and that's know that if the consumer ressearch services segment component of EBITDA and and and as you noted you know we have you know a continually growing you investment on the therapeutic side. That's giving rise to part of that the other thing that's going on here and is that we have you know we have just the inflationary costs on our labor base which you is running at a higher rate. Terms of MERIT promo all of those things across the entirety of the of the company during this inflationary time and so that's that's going to run really throughout the the business and so and then in terms of like specifically how the work that will do to launch the new products. While there will be some modest incremental hiring. You know I think I think the effects of actually getting that launch and getting that out there you know won't be as big impact. For instance. As just taking on the 12 months of the telehealth business you know operating expenses and that sort of thing. So just to put those in youin relativity.

Speaker 8: during this inflationary time and so that's- that's going to run really throughout the the business. And so- and then in terms of like, specifically how the work that we'll do to launch the new products, while there will be some modest incremental hiring I think- I think the effects of actually getting that launch and getting that out there won't be as big of an impact. For instance, that is just taking on the 12 months of the telehealth business operating expenses and that sort of thing, so just to put those in relativity.

Yes that's awful okay, and I just want to understand that this new genomic health service a little bit better. It's this, the service that connects the 23 and me.

Speaker 33: Yes that's awful okay, and I just want to understand that this new genomic health service a little bit better. It's this, the service that connects the 23 and me.

Speaker 12: Yes, that's helpful okay, and I just want to understand this new genomic health service a little bit better. Is this the service that connects the 23andMe report readouts with a Lemonaid provider, or is this something in addition to a Lemonaid provider that you're going to be investing in?

Report readouts with eliminade provider. Or is this something in addition to eliminade provider that you're going to be investing in?

Speaker 33: Report readouts with eliminade provider. Or is this something in addition to eliminade provider that you're going to be investing in?

It is really about connecting. The first step, I would say, is really about connecting our customers, as well as future customers, with a care provider if they want to be able the best interpret to best health with the information- and I think part of that also gets people on to, you know, a plan for how do you actually implement this information into your life. So we look at- you know we said this also as part of our sto process- like the beginnings with the subscription product, and how do we actually really enhance that more and more with part of eliminate acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmaccoachgenetics. So it, you know we recently launched a very data product, you know, with a couple reports giving access to care, and I think you can imagine that we will have and what comprehensive offering, you know, later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers get access to a care provider, you know, I thought, follow the whole kind of plan.

Speaker 12: It is really about connecting. The first step, I would say, is really about connecting our customers, as well as future customers, with a care provider if they want to be able the best interpret to best health with the information- and I think part of that also gets people on to, you know, a plan for how do you actually implement this information into your life. So we look at- you know we said this also as part of our sto process- like the beginnings with the subscription product, and how do we actually really enhance that more and more with part of eliminate acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmaccoachgenetics. So it, you know we recently launched a very data product, you know, with a couple reports giving access to care, and I think you can imagine that we will have and what comprehensive offering, you know, later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers get access to a care provider, you know, I thought, follow the whole kind of plan.

Multiple speakers: It is really about connecting- the first step, I would say, is really about connecting our customers, as well as future customers, with a care provider if they want to be able the best interpret- to best help with the information. And I think part of that also gets people on to you know a plan for how do you actually implement this information into your life. So we look at know- we said this also as part of our back office- like the beginnings with the subscription product and how do we actually really enhance that more and more with part of the Lemonaid acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmacogenetics. So you know- we recently launched a very beta products, you know, with a couple of reports giving access to care, and I think you can imagine that we will have and what comprehensive offering you later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers. get access to a care provider. Yeah. - Follow the whole kind of plan. That makes it. And so, what would be economic model there be? Would have like a button on my 23andMe app that says "connect to a care provider" and then you know you charge me $50 bucks or something for that or a subscription? How are you thinking about monetizing that? Yep. I mean, I think that you're tapping- I think that is what is happening today. So, I don't know, it's not rolled out to 100% of our customers, but there's beta testing right now, some of our customers saying what type- what are the types of services you want to get? Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

That makes itse and, and so what would be economic model there be? Would I have like a button on my 23 in the app as sayas connect to a care provider and then you know you charge me 50 buckes or something for that, or a sub.scription? How are you thinking about monetizing that?

Speaker 33: That makes itse and, and so what would be economic model there be? Would I have like a button on my 23 in the app as sayas connect to a care provider and then you know you charge me 50 buckes or something for that, or a sub.scription? How are you thinking about monetizing that?

Speaker 5: get access to a care provider. Yeah. - Follow the whole kind of plan. That makes it. And so, what would be economic model there be? Would have like a button on my 23andMe app that says "connect to a care provider" and then you know you charge me $50 bucks or something for that or a subscription? How are you thinking about monetizing that? Yep. I mean, I think that you're tapping- I think that is what is happening today. So, I don't know, it's not rolled out to 100% of our customers, but there's beta testing right now, some of our customers saying what type- what are the types of services you want to get? Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

Yes I mean, I think that you're caappping. I think that is what is happening today. So I don't know if it's not about 2- 100% of our customers, but there's be the testing right now with some of our customers sayingwhat type, what are the types of services you want to get. Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

Speaker 34: Yes I mean, I think that you're caappping. I think that is what is happening today. So I don't know if it's not about 2- 100% of our customers, but there's be the testing right now with some of our customers sayingwhat type, what are the types of services you want to get. Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

So I think that's where you know fundamentally, when I think back on the last 16 years with a company and our engagement rate, we have incredibly high engagement. People come back over and over again and so there's clearly a demand: will people want more? And so when I think about ability for us to provide care services- it's not always, you know, having to talk to a coach, but it could be var online services that are, you know, directed by a medical professional- that help you really take advantage of the information and again, the focus threat really has been on sort that, that need of prevention, and if you look at a lot of our reports, they really help people open up the door to saying: you know you don't yet have a conditition, but you have the opportunity to potentially prevent, So how can we now help you implement that into your life?

Speaker 35: So I think that's where you know fundamentally, when I think back on the last 16 years with a company and our engagement rate, we have incredibly high engagement. People come back over and over again and so there's clearly a demand: will people want more? And so when I think about ability for us to provide care services- it's not always, you know, having to talk to a coach, but it could be var online services that are, you know, directed by a medical professional- that help you really take advantage of the information and again, the focus threat really has been on sort that, that need of prevention, and if you look at a lot of our reports, they really help people open up the door to saying: you know you don't yet have a conditition, but you have the opportunity to potentially prevent, So how can we now help you implement that into your life?

Multiple speakers: So I think that's where you know, fundamentally, when I think back on the last 16 years of a company and our engagement rates, we have incredibly high engagement. People come back over and over again, so there's clearly a demand where people want more. And so when I think about ability for us to provide care services- it's not always, you know, having to talk to a coach, but it could be various online services that are, you know, directed by a medical professional- that help you really take advantage of the information- and again, the focus for us really has been on to that unmet need of prevention. And if you look at a lot of our reports, they really help people open up the door to saying: you know you don't yet have a condition but you have the opportunity to prevent, so how can we now help you implement that into your life? Ok, I then on the Lemonaid piece of the business outside of this new service that you're you're building out, but kind of the core Lemonaid or I would say, legacy Lemonaid there's obviously been a lot of and, Steve you mentioned this too, inflation in tax and it's both, especially when you're talking about marketing direct to consumer and some of the social and search channels that has weighed on all the DTC oriented company results. How are you thinking about spend in some of the Lemonaid- legacy Lemonaid channels to acquire customers, particularly to the mental health and some of these other very competitive spaces which have really deteriorated unit economics in the space?

yeahp, okay. And then on on the lemonade piece of the business, outside of this new service that you're you're building out, but kind of the core lemonade or, or I would say, legacy lemonade there's obviously been a lot of and steve- you mentioned this- to inflation in in tax and it's. But especially when you're talking about marketing direct to consumer and some of the social and search channels, that has weighed on all of the a, D T C oriented company results. How are you thinking about spend in some of the Lemon, legacy lemonade channels to to acquire customers, particularly to the mental health and some of these other very competitive spaces which has really deteriated unit economics in the space?

Speaker 36: yeahp, okay. And then on on the lemonade piece of the business, outside of this new service that you're you're building out, but kind of the core lemonade or, or I would say, legacy lemonade there's obviously been a lot of and steve- you mentioned this- to inflation in in tax and it's. But especially when you're talking about marketing direct to consumer and some of the social and search channels, that has weighed on all of the a, D T C oriented company results. How are you thinking about spend in some of the Lemon, legacy lemonade channels to to acquire customers, particularly to the mental health and some of these other very competitive spaces which has really deteriated unit economics in the space?

Multiple speakers: inflation in tax and it's both, especially when you're talking about marketing direct to consumer and some of the social and search channels that has weighed on all the DTC oriented company results. How are you thinking about spend in some of the Lemonaid- legacy Lemonaid channels to acquire customers, particularly to the mental health and some of these other very competitive spaces which have really deteriorated unit economics in the space?

Yeah let me answer that to begin with and then handed over to see I would say the reason. The reason again for us buying lemonade was really to get that infrastructure and all those pieces in place so that we could execute on genom icagmedicine and I absolutely like I hear you in terms of you know pack going up and you know it's more competitive. The differentiator that 23 me has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations, that in a great genetic information and there's no one else really in a position to do that.

Speaker 37: Yeah let me answer that to begin with and then handed over to see I would say the reason. The reason again for us buying lemonade was really to get that infrastructure and all those pieces in place so that we could execute on genom icagmedicine and I absolutely like I hear you in terms of you know pack going up and you know it's more competitive. The differentiator that 23 me has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations, that in a great genetic information and there's no one else really in a position to do that.

Anne Wojcicki: Yeah let me answer that to begin with and then hand it over to Steve. I would say the reason, the reason again for us buying Lemonaid was we would to get that infrastructure and all those pieces in place so that we could execute on genomic medicine. And I absolutely like I hear you in terms of you know cack going up and and you know it's more competitive. The differentiator that 23andMe has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations, that in a great genetic information and there's no one else really in a position to do that.

Steve, do you want to jump in if there's anything else specific in terms of numbers?

Speaker 38: Steve, do you want to jump in if there's anything else specific in terms of numbers?

Is thefin into the number one category that we focused on at the increment in setting up the plan for this year and as I mentioned in the guidance I mean we 're.

Speaker 39: Is thefin into the number one category that we focused on at the increment in setting up the plan for this year and as I mentioned in the guidance I mean we 're.

Multiple speakers: Steve, do you want to jump in if there's anything else in terms of numbers? it's the- it's the- the number one category that we've focused on at the increment and setting up the plan for this year and, as I, as I mentioned in the- in the guidance, I mean we're not planning on anything material coming from the new businesses this year, as Anne and team get those built and tested and rolled out, and so we're-. The legacy businesses as they're currently configured are the, are the drivers of the top line and the way that we're resourcing them and, and there is inflation in media spend and we've taken that into account and looking at the efficacy of our media spend and I think we'll be will be dialling that back a little bit. As you noted we, as we've talked about, we're emphasizing cash efficiency in this business over just your top line growth this year.

We're not planning on anything material coming from the new businesses this year is, as of team, get those built and tested and rolled out, and so we're the legacy. Businesses, as they're currently configured are, are the drivers of the top line and the way that we're resourcing them and there is inflation in the spend and we've taken that into account and looking at the efficacy of our media spend and I think we be'll be dialing that back a little bit. As you noted, we've talked about we're emphasizing cash efficiency in this business over just your top line growth.

Speaker 3: We're not planning on anything material coming from the new businesses this year is, as of team, get those built and tested and rolled out, and so we're the legacy. Businesses, as they're currently configured are, are the drivers of the top line and the way that we're resourcing them and there is inflation in the spend and we've taken that into account and looking at the efficacy of our media spend and I think we be'll be dialing that back a little bit. As you noted, we've talked about we're emphasizing cash efficiency in this business over just your top line growth.

This year gotTA end and last one for me. I'll HO back in the queue here just on the C D 96 asset. Are you still expecting a a readout this year? On C D 96 I think G's K filed or noted. I M want this call that it's now going to pushed out a little bit but that might be a a different combo trial OD. I'm just curious if that C D 96 read that is still expected for for this year.

Speaker 2: This year gotTA end and last one for me. I'll HO back in the queue here just on the C D 96 asset. Are you still expecting a a readout this year? On C D 96 I think G's K filed or noted. I M want this call that it's now going to pushed out a little bit but that might be a a different combo trial OD. I'm just curious if that C D 96 read that is still expected for for this year.

Tiago Fauth: Yep, got it. And last one for me, then I'll hop back in the queue here. Just on the CD 96 asset. Are you still expecting a readout this year on CD 96? I think GSK filed or <inaudible> this call that it- it's now going to pushed out a little bit but that might be a a different combo trial. I'm just curious if that CD 96 readout is still expected for for this year?

Kenneth yes, So you're happy to do that. Thank So, So I think, as you know, GSK is now soutely responsible for ther continued development of gk six zero eight against CB 96, and so they are going to be responsible for communicating their plans. What I think we can say? That the studies continue to enroll, and so I really don't have further details on that.

Speaker 40: Kenneth yes, So you're happy to do that. Thank So, So I think, as you know, GSK is now soutely responsible for ther continued development of gk six zero eight against CB 96, and so they are going to be responsible for communicating their plans. What I think we can say? That the studies continue to enroll, and so I really don't have further details on that.

Multiple speakers: Kenneth, you want to take that? Yes. So, sure. Happy to do that. Thanks. So- so I think, as you know, GSK is now solely responsible for the continued development of GSK 608 against CD 96, and so they are going to be responsible for communicating their plans. What I think we can say is that the studies continue to enrol, and so I really don't have further details on that. Okay. Thank you.

Okay Thank you.

Speaker 27: Okay Thank you.

Thank you not showing any for the question queue at this moment. I' like turn the call over to wait for any additional percomce.

Speaker 1: Thank you not showing any for the question queue at this moment. I' like turn the call over to wait for any additional percomce.

Multiple speakers: Thank you. I'm not showing anymore questions in the queue at this moment. I'd like to turn the call over to Wade for any additional comments. Thank you, Victor. We have a few questions from investors through our online platform that I'm going to take some of the top questions here and we'll answer these. The first question is: what are the future plans for 23andMe? Do you have ideas for creating future product and do you have any plan to modify your current products? I can take that and I think I covered the gist of the program. I mean, we definitely feel like there's an amazing opportunity to evolve the products and I would say the rise of telemedicine, and even online pharmacy has really opened up the door where people are comfortable and use to this kind of interaction with healthcare providers. So we have always seen the vision of how can best serve of our customers by giving them genetic information and next helping them, you know- have the next steps they can take. And it's been a challenge with physician's having a lack of reimbursement on consults around genetics and lack of training. So we have this opportunity now I think to really create a full stack product where people can get access to the information, they can learn about it, they get ongoing information, they- we will help them integrate it and, and as well they will have direction from health care providers. So I think there's a real opportunity to have a full stack, really integrated experience and that's what we are focused really on building out for the next year.

Thank you, Victor. We have a few questions from investors through our online platform that.

Speaker 1: Thank you, Victor. We have a few questions from investors through our online platform that.

I'm going to take some of the top questions here and we'll answer these. The first question is: what are the future plans betweeny three me to have ideas for creating future products, and do you have any plan to modify your current products?

Speaker 41: I'm going to take some of the top questions here and we'll answer these. The first question is: what are the future plans betweeny three me to have ideas for creating future products, and do you have any plan to modify your current products?

Yeah I can take that and I think if I I catch the gjust of the program, I mean we definitely feel like there's an amazing opportunity to evolve the product and I would say the rise of telemedicine- the rights is even online. phm AC Y has really opened up the door where people are comfortable and used to this kind of interaction with healthcare providers. So we have always seen a vision of how can we best SER of our customers by gettingt win genetic information and the next helping them, you know, have the next ststeps they can take. And it's been a challenge with physician having a lack of reimbursement on know consults around genetics and lack of training. So we have this opportunity now, I see, to really create a full stack.

Speaker 1: Yeah I can take that and I think if I I catch the gjust of the program, I mean we definitely feel like there's an amazing opportunity to evolve the product and I would say the rise of telemedicine- the rights is even online. phm AC Y has really opened up the door where people are comfortable and used to this kind of interaction with healthcare providers. So we have always seen a vision of how can we best SER of our customers by gettingt win genetic information and the next helping them, you know, have the next ststeps they can take. And it's been a challenge with physician having a lack of reimbursement on know consults around genetics and lack of training. So we have this opportunity now, I see, to really create a full stack.

Speaker 6: And it's been a challenge with physician's having a lack of reimbursement on consults around genetics and lack of training. So we have this opportunity now I think to really create a full stack product where people can get access to the information, they can learn about it, they get ongoing information, they- we will help them integrate it and, and as well they will have direction from health care providers. So I think there's a real opportunity to have a full stack, really integrated experience and that's what we are focused really on building out for the next year.

Product where people can get access to the information, they can learn about it. They get ongoing information, they we will help them integrate it and, as well as they will have directions from health care providers. So I think there's a real opportunity to have a full fact, really integrated experience, and that's what we are focused really on building out for the next year.

Speaker 42: Product where people can get access to the information, they can learn about it. They get ongoing information, they we will help them integrate it and, as well as they will have directions from health care providers. So I think there's a real opportunity to have a full fact, really integrated experience, and that's what we are focused really on building out for the next year.

S our next question is: how are we planning to compete with and bustthrough in their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How we addressing this.

Speaker 1: S our next question is: how are we planning to compete with and bustthrough in their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How we addressing this.

Speaker 8: Thanks. Our next question is: how are we planning to compete with Ancestry and their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How are we addressing this?

I would AR we're quite different from ancestry. I mean ancestry really solving a specific need, which is about getting your records, and while 23 have a significant ancestry component about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information as was discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement levels that we have, people come back, obviously for in the relatives, but they really come back as well for the new health reports. So more and more, more emphasized on that way, and I think that there's well. But while ancestry and 23 both leveragage conformation, leverage different, very different purpose, S and I would say the health market, from all the analysis we've done appears to be a larger market.

Speaker 43: I would AR we're quite different from ancestry. I mean ancestry really solving a specific need, which is about getting your records, and while 23 have a significant ancestry component about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information as was discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement levels that we have, people come back, obviously for in the relatives, but they really come back as well for the new health reports. So more and more, more emphasized on that way, and I think that there's well. But while ancestry and 23 both leveragage conformation, leverage different, very different purpose, S and I would say the health market, from all the analysis we've done appears to be a larger market.

Multiple speakers: I would say we're quite different from Ancestry. I mean Ancestry is really solving a specific need, which is about getting your records, and while 23andMe has a significant ancestry component, about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information that is discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement level that we have, people come back obviously for new relatives, but they really come back as well for the new health reports. So more and more were emphasized on that way and I think that- there's well- but while Ancestry and 23andMe both leverage genetic information, we leverage it for very different purposes and I would say the health market, from all the analysis we've done, appears to be a larger market. Thank you. The next question is, as 23andMe is already experiencing the field of genotyping DNA, are you at all interested in investing in the gene editing field or partnering with a company involved in that space?

Thank you. The next question is, as twenting me has already experienced in the field of genotyping dmay: are you at all interested in investing in the gene eine field or partnering with the company involved in space?

Speaker 1: Thank you. The next question is, as twenting me has already experienced in the field of genotyping dmay: are you at all interested in investing in the gene eine field or partnering with the company involved in space?

What I would actually look to, ne gene editing as a phenomenal tool that I could see one day, definitely having plicability with our therapeutics team, So I don't know if there's anything else you want to add to that tenneis, but it's a great tool that we could potentially leverage one day for our own kind of research.

Speaker 1: What I would actually look to, ne gene editing as a phenomenal tool that I could see one day, definitely having plicability with our therapeutics team, So I don't know if there's anything else you want to add to that tenneis, but it's a great tool that we could potentially leverage one day for our own kind of research.

Yes So happy to respond. I mean it's a very exciting space. I think people know in look Chris pro, kast 9, or there are multiple different types of geniting tools. Obviously we get geninetic inimpfacts from our database and where we thought there was something that could, could have the potential to an impact from patients' lives and would involve something like Gen editing, I think in that case we might look for opportunities to partner with other companies. Today we have the GSK collaboration, which is exclusive with gk, So I then, as you know they're not a geniting companies, So I think it would be more of a long term thing for 23 me rather than something in the near term, but but absolutely something that we continue to monitor and observe and what for those kinds of opportunities.

Speaker 44: Yes So happy to respond. I mean it's a very exciting space. I think people know in look Chris pro, kast 9, or there are multiple different types of geniting tools. Obviously we get geninetic inimpfacts from our database and where we thought there was something that could, could have the potential to an impact from patients' lives and would involve something like Gen editing, I think in that case we might look for opportunities to partner with other companies. Today we have the GSK collaboration, which is exclusive with gk, So I then, as you know they're not a geniting companies, So I think it would be more of a long term thing for 23 me rather than something in the near term, but but absolutely something that we continue to monitor and observe and what for those kinds of opportunities.

Kenneth J. Hillan: So I think it would be more of a long-term thing for 23andMe rather than something in the near term, but but absolutely something that we continue to monitor and observe and what will look for those kinds of opportunities.

Thank you. The next question is: where do you see the company in five years?

Speaker 1: Thank you. The next question is: where do you see the company in five years?

Multiple speakers: Thank you. The next question is: where do you see the company five years? What a great question. I love forward - I love, I love that kind of vision, because that is absolutely what we are building for is you know how you, over the long term, how are we actually really making a significant impact in our customers' lives who, the health care system in general? I believe strongly that the expertise that 23andMe is bring here is how to interact direct to consumer- or directly with our customers, how to engage them and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23andMe bring genomic medicine to everybody? And some of it's going to be direct to consumer, but some might be through additional channels. But everyone, when I talk to healthcare providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of care. So how are we going to get from the moment today where very few people are actually getting genetics and integrated in their care, to a world where it is universal and everyone has the opportunity for truly personalized care? Thank you. It's very exciting.

What a great question. I love Board, I love, I love that kind of vision, because that is absolutely what we are building for. Is you know, how do you? Over the long term, how are we actually really making a significant impact in our customers lives, who all the health care system in general? I believe strongly that the expertise that 23 is bring hereis how to interact direct to consumer, are directly with our customers, how to engage them, and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23 me bring genomic medicine to everybody, and some of it's going to be direct to consumer, but some might be through additional channels. But everyone, when I talk to health care providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of of care. So how are we going to get from the moment- today we very few people are actually getting genetics and integrated in theirof care- to a world where it is universal and everyone has the opportunity for clely personalized care?

Speaker 1: What a great question. I love Board, I love, I love that kind of vision, because that is absolutely what we are building for. Is you know, how do you? Over the long term, how are we actually really making a significant impact in our customers lives, who all the health care system in general? I believe strongly that the expertise that 23 is bring hereis how to interact direct to consumer, are directly with our customers, how to engage them, and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23 me bring genomic medicine to everybody, and some of it's going to be direct to consumer, but some might be through additional channels. But everyone, when I talk to health care providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of of care. So how are we going to get from the moment- today we very few people are actually getting genetics and integrated in theirof care- to a world where it is universal and everyone has the opportunity for clely personalized care?

Speaker 5: throughout all aspects of care. So how are we going to get from the moment today where very few people are actually getting genetics and integrated in their care, to a world where it is universal and everyone has the opportunity for truly personalized care? Thank you. It's very exciting.

Thank you for exciting.

Speaker 1: Thank you for exciting.

The next question is about asking about when we'll know more about the current testing and can ATE drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about G us case 608, So maybe you could just speak for a second about our wholly owned program 23, these six ten.

The next question is about asking about when we'll know more about the current testing and can ate drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about G us case 608, So maybe you could just speak for a second about our wholly owned program 23, these six ten.

Speaker 3: The next question is about asking about when we'll know more about the current testing and can ate drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about G us case 608, So maybe you could just speak for a second about our wholly owned program 23, these six ten.

Multiple speakers: The next question is about- asking about when we'll know more about <unk> drugs, and I think they're referring to the drugs in clinical testing right now and Kenneth I know you already answered that question about GSK 608 so maybe you can just speak for a second about our wholly owned program, 23andMe 610? Sure. Happy to, Wade. So yes, 23andMe 610 it's an antibody that targets to CD 200 R1 program, which we think is important, based on our imminno-oncology signature and our biology data in in immuno-oncology. That program entered the clinic earlier this year. We announced in January 2022 to that had initiated clinical trials. We continue to enrol patients and the trial continues to make the progress as expected. So we're excited obviously, to continue to advance that program forwards. And then, as I refer to earlier, we have a- one of the things that's really unique by 23andMe is that we have a portfolio of a programs. Some of those - or most of them are in collaboration with GSK, but also some are wholly owned assets for 23andMe, and so just looking forward to continuing to move those, advance those that are the most compelling, with the highest probability success, towards the clinic and then ultimately into clinical development. Thanks, Kenneth. Next question is: what are your plans to make the company more profitable for stockholders? A couple things, and I think that I can also the hand over to Steve. I think one in know 23andMe has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have recently acquired with Lemonaid. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in the health care world, in the consumer world, that are founded in genetics, and I see the beginnings of our subscription products in the opportunities for us to really enhance that and at a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds. So we are investing and we believe, strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at the three prongs here: one is really being very efficient with how we are using our resources to really creating products that are going to solve an incredible opportunity in a need for our customers as well as the health care world. And three, really continuing on our path for developing therapeutics that we believe will have a higher likelihood of success because of the genetic foundation. Anything to add there, Steve?

Sure have happy to. So yes, So 23 me 6, 10. it's an antibody that targets to CD twotwenthundred, our one program, which we think is important, based on our immuno-oncology signature and our biology data in in immunooncology, that program entered the clinic earlier this year. We ounced in January twoythousand and 22 that we have initiated clinical trials. We continue to enroll patients and the trial continues to make the progress as expected. So we're excited obviously, to continue to advance that program forwards. And then, as I referred to earlier, we have one of the things that's really unique about 23 and me is that we have a portfolio programs. Some of those are most of the marine company in collaboration with gk, but also some better fullylioowns assets for 23 and me, and so just looking forward to continuing to move those advance, those that are the most compe, lling with the highest probability success, towards the clinic and then ultimately into clinical development.

Speaker 22: Sure have happy to. So yes, So 23 me 6, 10. it's an antibody that targets to CD twotwenthundred, our one program, which we think is important, based on our immuno-oncology signature and our biology data in in immunooncology, that program entered the clinic earlier this year. We ounced in January twoythousand and 22 that we have initiated clinical trials. We continue to enroll patients and the trial continues to make the progress as expected. So we're excited obviously, to continue to advance that program forwards. And then, as I referred to earlier, we have one of the things that's really unique about 23 and me is that we have a portfolio programs. Some of those are most of the marine company in collaboration with gk, but also some better fullylioowns assets for 23 and me, and so just looking forward to continuing to move those advance, those that are the most compe, lling with the highest probability success, towards the clinic and then ultimately into clinical development.

Multiple speakers: one of the things that's really unique by 23andMe is that we have a portfolio of a programs. Some of those - or most of them are in collaboration with GSK, but also some are wholly owned assets for 23andMe, and so just looking forward to continuing to move those, advance those that are the most compelling, with the highest probability success, towards the clinic and then ultimately into clinical development. Thanks, Kenneth. Next question is: what are your plans to make the company more profitable for stockholders? A couple things, and I think that I can also the hand over to Steve. I think one in know 23andMe has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have recently acquired with Lemonaid. Second, it's absolutely clear to me that there is an opportunity to develop

N co.

Speaker 1: N co.

Next question is: what are your plans to make the company more profitable for stockholders?

Speaker 3: Next question is: what are your plans to make the company more profitable for stockholders?

A couple things when I think that I can also hand over to to to see. I think one know 23 me has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have recently acquired with lemonade. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in health care world, in the consumer world, that are founded in genetics, and I see the beginnings of our subscription products in the opportunities for us to really enhance that and add a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds that we're investing, we believe, with strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at but the three prongs here: one is really being very efficient with how we re using our resources to really creating products that are going to solvean incredible opportunity in a need for our customers as well as the health care world. And 3, really continuing on our path for developing FA? apeutics that we believe will have a higher likelihood of success because of the genetic foundation.

Speaker 1: A couple things when I think that I can also hand over to to to see. I think one know 23 me has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have recently acquired with lemonade. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in health care world, in the consumer world, that are founded in genetics, and I see the beginnings of our subscription products in the opportunities for us to really enhance that and add a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds that we're investing, we believe, with strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at but the three prongs here: one is really being very efficient with how we re using our resources to really creating products that are going to solvean incredible opportunity in a need for our customers as well as the health care world. And 3, really continuing on our path for developing FA? apeutics that we believe will have a higher likelihood of success because of the genetic foundation.

Speaker 5: additional products that really serve a need in the health care world, in the consumer world, that are founded in genetics, and I see the beginnings of our subscription products in the opportunities for us to really enhance that and at a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds. So we are investing and we believe, strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at the three prongs here: one is really being very efficient with how we are using our resources to really creating products that are going to solve an incredible opportunity in a need for our customers as well as the health care world. And three, really continuing on our path for developing therapeutics that we believe will have a higher likelihood of success because of the genetic foundation. Anything to add there, Steve?

Anything to add their seas?

Speaker 9: Anything to add their seas?

Just a couple of things to put a finer point on it. I think know, when we look at I mean, we got this business to, we got the consumer business in fiscal pointy one to above breakeven on a operating cash flow basis and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and how much revenue we were driving. and- and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment bebecausees more driven by product than it does by marketing. So super important concept there. And then I think scale for the top line you returning back to a good growth profile is the new products roll out late in the year. Also super important because we have some fixed costs in GNA and some of the technical functions and in the consumer segment that are, you know there's a minimum size to them to run the infrastructure. So those are both super important to to get that- and that's our first order business- to get that that segment back to contributing cash to the company.

Speaker 32: Just a couple of things to put a finer point on it. I think know, when we look at I mean, we got this business to, we got the consumer business in fiscal pointy one to above breakeven on a operating cash flow basis and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and how much revenue we were driving. and- and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment bebecausees more driven by product than it does by marketing. So super important concept there. And then I think scale for the top line you returning back to a good growth profile is the new products roll out late in the year. Also super important because we have some fixed costs in GNA and some of the technical functions and in the consumer segment that are, you know there's a minimum size to them to run the infrastructure. So those are both super important to to get that- and that's our first order business- to get that that segment back to contributing cash to the company.

Speaker 4: Just a couple of things. To put a finer point down it, I think you know, when we look at I mean, we got this business to, we got the consumer business in fiscal 21 to above breakeven on a operating cash flow basis and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and and how much revenue we were driving. And, and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment becomes more driven by product than it does by marketing. So super important concept there and then, I think, scaled to the top line, you know. Returning back to you know a good growth profile is the new products roll out late in the year. Also super important because we have some fixed costs in G N, a and some of the technical functions in the consumer segment that are. You know there's a minimum size to the.

Thank you I think we'll take one more question here and then wrap it up. The last question is.

Speaker 1: Thank you I think we'll take one more question here and then wrap it up. The last question is.

Are you entering any new partnerships?

Speaker 3: Are you entering any new partnerships?

I don't believe there's anything else that we can announce right now, but we are always looking at ways that we will be able to enhance our customer offering and I would say, after you know, in the postgk world, we will definitely think about ways that we can continue and to enhance our research related partnership. So partnership is always top of our mind. We're always evaluating opportunities, but nothing today for us to runnounce.

Speaker 1: I don't believe there's anything else that we can announce right now, but we are always looking at ways that we will be able to enhance our customer offering and I would say, after you know, in the postgk world, we will definitely think about ways that we can continue and to enhance our research related partnership. So partnership is always top of our mind. We're always evaluating opportunities, but nothing today for us to runnounce.

All right, thanks. So I think that that we'll wrap up the QA and I'll turn it over to Ann to wrap up the call.

Speaker 1: All right, thanks. So I think that that we'll wrap up the QA and I'll turn it over to Ann to wrap up the call.

Just want to say thank you to everyone for joining and we look forward to talking to you next quarter.

Speaker 12: Just want to say thank you to everyone for joining and we look forward to talking to you next quarter.

Speaker 19: To RA the call.

Speaker 13: Just want to say thank you to everyone for joining and we look forward to talking to next quarter.

This concludes today's conference call. Thank you for participating. You may now dis connect everyone. Have a great day.

Speaker 1: This concludes today's conference call. Thank you for participating. You may now dis connect everyone. Have a great day.

Speaker 9: This concludes today's conference call. Thank you for participating. You may now disconnect everyone. Have a great day.

Speaker 9: I.

No.

Speaker 1: No.

Speaker 1: Good morning and welcome to the 23 and me fiscal year 2022 fourth quarter and year-end financial results conference call. At your remindder, this call is being recorded.

Good morning and welcome. Move the 23 and meets. Fiscal year 20 20: two fourth quarter and year-end financial results conference call at the remindder. This call is being recorded at this time. All'll participants unlisten only mode. After the prepared remarks, there will be a question-and-answer session and like the call, and I would now like to turn the call over to what Wade walk, Vice President of Investor Relations, to lead off the call. Thank you, Please go ahead.

Speaker 45: Good morning and welcome. Move the 23 and meets. Fiscal year 20 20: two fourth quarter and year-end financial results conference call at the remindder. This call is being recorded at this time. All'll participants unlisten only mode. After the prepared remarks, there will be a question-and-answer session and like the call, and I would now like to turn the call over to what Wade walk, Vice President of Investor Relations, to lead off the call. Thank you, Please go ahead.

Speaker 20: At this time. I'll participants listen only mode. After the prepared remarks, there will be a question-and answer session. And like to call- and I would now like to turn the call over to what Wade walk, Vice President of Investor Relations, to lead off the call. Thank you, Please go ahead.

Thank you. Before we begin, I encourage everyone to go to investors 23 new com to find the press release we issued earlier today reporting our financial results for the quarter and fiscal year. A replay of's webcast will also be available on our website for a limited time, within 24 hours after the event.

Speaker 1: Thank you. Before we begin, I encourage everyone to go to investors 23 new com to find the press release we issued earlier today reporting our financial results for the quarter and fiscal year. A replay of's webcast will also be available on our website for a limited time, within 24 hours after the event.

Speaker 3: Thank you. Before we begin, I encourage everyone to go to investors 23 new com to find the press release we issued earli today reporting our financial results for the quarter and fiscal year. A replay of todays webcast will also be available onourwebsite for a limited time within 24 hours after the event. Please note that certain statements made during this call regarding matters that are not historical facts, including the not limited to, management's outlook or predictions for future periods, are forward-looking statements. These statements are based solely on information that is now available to us. We encourage you to review the section entitled forward-looking statements in our press release, which applies to this call also. Please refer to our SEC filings, which can be found on ourwebsite and SEC's website, for a discussion of numerous factors that may impact our future performance.

Speaker 41: Please note that certain statements made during this call regarding matters that are not historical facts, including but not limited to management's outlook or predictions for future periods, are forward-looking statements. These statements are based solely on information that is now available to us.

Speaker 33: We encourage you to review the section entitled forward-looking statements in our press release, which applies to this call also. Please refer to our SEC filings, which can be found on our website and the SEC's website, for a discussion of numerous factors that may impact our future performance.

We also discussed certain non-GAAP measures. Important information on our use of these measures and reconciliation to U's GAAP may be found in our earnings release.

Speaker 3: We also discussed certain non-GAAP measures. Important information on our use of these measures and reconciliation to U's GAAP may be found in our earnings release.

Speaker 20: We also discussed certain non-GAAP measures. Important information on our use of these measures and reconciliation to U's GAAP may be found in our earnings release. Joining us on today's call our an wogenski, our Chief Executive Officer and Co-Founder, Kenneth hhelen, our Chief therapeutics Officer, and Steve shook, our Chief financialofficer, and now I'd like to turn the call over to Anne.

Joining us on today's call are an wojgenski, our Chief Executive Officer and Co-Founder, kenth Helen, our Chief therapeutics Officer, and Steve shook, our Chief Financial Officer.

Speaker 3: Joining us on today's call are an wojgenski, our Chief Executive Officer and Co-Founder, kenth Helen, our Chief therapeutics Officer, and Steve shook, our Chief Financial Officer.

And now I'd like to turn call over to Anne.

Speaker 3: And now I'd like to turn call over to Anne.

Thank you, Wade.

Speaker 8: Thank you, Wade.

We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetic into everyday care, with the ultimate goal of making personalized health care a reality.

Speaker 46: We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetic into everyday care, with the ultimate goal of making personalized health care a reality.

Speaker 21: Thank you, Wade. We are excited about the steps we have taken over the last year, and specifically over the last several months, to begin to integrate genetics into everyday care, with the ultimate goal of making personalized health care a reality. one of the unique aspects of our approach is that we will be able to offer people the ability to access and learn about their DNA and then take proactive, preventative steps to manage their health and well-being through guidance from our genetic train remedade cliniciansnearly 20 years ago, as the human genome project was being completed, leaders at the time predicted that genetics would have the potential to transform how we diagnose, treat and prevent all human disease.

That vision still exists in made, but for a number of reasons, such as lack of reimbursement, education and training, genetics is not widely adopted into care.

Speaker 8: That vision still exists in made, but for a number of reasons, such as lack of reimbursement, education and training, genetics is not widely adopted into care.

Speaker 13: That vision stillill exists in D But for a number of reasons such as lack of reimbursement, education and training, genetics is not widely adopted into care. We have the opportunity to partner with customers in the traditional health care world to use genetic data to truly personalize care.

We have the opportunity to partner with customers in the traditional health care world to use Gen edig data to truly personalize care.

Speaker 12: We have the opportunity to partner with customers in the traditional health care world to use Gen edig data to truly personalize care.

Speaker 12: We are taking this next step because it is the logical progression of our vision to help people access, understand and benefit from the human genome. We have delivered on the first two aspects of our vision- accessibility and understanding- by now offering over 60 health report in our personal genum service.

Speaker 18: We are taking this next step because it is the logical progression of our vision to help people access, understand and benefit from human genome. We have delivered on the first two aspects of our vision- accessibility and understanding- by now offering over 60 health reports in our personal canum service.

We've also grown our customer base to 12.8 million genotypees customers.

Speaker 10: We've also grown our customer base to 12.8 million genotypees customers.

Our new focus strives to deliver on the third aspects of our vision: to help people benefit from the human geninome.

Speaker 12: Our new focus strives to deliver on the third aspects of our vision: to help people benefit from the human geninome.

Speaker 6: We've also grown our customer base to 12.8 million genotype customers. Our new focus drives to deliver on the third aspects of our vision: to help people benefit from the human genome.

We know there is a huge unmet need for prevented at healthcare. It has been reported that 40% of deaths from the five leading causes in the U's are preventable.

Speaker 11: We know there is a huge unmet need for prevented at healthcare. It has been reported that 40% of deaths from the five leading causes in the U's are preventable.

Speaker 6: We know there is a huge unmet need for prevented healthcare. It has been reported that 40% of deaths from the five meeting causes in the U's are preventable.

Yet accessibility to preventative care remains a problem for most people.

Speaker 5: Yet accessibility to preventative care remains a problem for most people.

We believe that with our first of its kind genomic health service focus on genetic and personalized health data, we have an opportunity to fill this unmet need: improve people's lives.

Speaker 5: We believe that with our first of its kind genomic health service focus on genetic and personalized health data, we have an opportunity to fill this unmet need: improve people's lives.

Speaker 18: Yet accessibility to preventative care remain a problem for most people. We believe that with our first of its kind genomic health service focus on genetic and personalized health data, we have an opportunity to fill this unmet need: improve people's lives.

I think everyone knows that health care is not personalized today.

Speaker 13: I think everyone knows that health care is not personalized today.

In most cases it's a one-size spit-all approach.

Speaker 9: In most cases it's a one-size spit-all approach.

Speaker 18: I think everyone knows that health care is not personalized today. In most cases 'is a one-size f-all approach. For example, we see guidelines for cancer screening that are primarily based on age, but rarely based on an individual's genetic riskbecause genetic testing is very rarely used outside of prenatal in cancer care. Most people don't know their genetic risk factors, much less what to do with that informationin addition, more often than not, insurance presents a barrier to acessing genetic testing.

For example, we see guidelines for cancer strecreening that are primarily based on age, but rarely based on an individual's genet risk.

Speaker 8: For example, we see guidelines for cancer strecreening that are primarily based on age, but rarely based on an individual's genet risk.

Because genetic testing is very rarely used outside of prenatal in cancer care. Most people don't know their' genetic risk factors, much less what to do with that information.

Speaker 14: Because genetic testing is very rarely used outside of prenatal in cancer care. Most people don't know their' genetic risk factors, much less what to do with that information.

In addition, more often than not, insurance pres a barrier to accessing genetic testing.

Speaker 8: In addition, more often than not, insurance pres a barrier to accessing genetic testing.

We also know that our customers have had problems in translating information about their genetic health risks to tangible health benefits and outcome.

Speaker 15: We also know that our customers have had problems in translating information about their genetic health risks to tangible health benefits and outcome.

Speaker 18: We also know that our customers have had problems in translating information about their genetic healthrisk to tangible health benefits and outcome. Often they take our genetic health reports to their primary care physicians who largely don't know how to interpret or act on the informationour efforts on the consumer side will now be focused on building a brtage between health bookawareness and health risk and disease management with our new genomic health services.

Often they take our genetic health reports to the primary care physicians, who largely don't know how to interpret or act on the information.

Speaker 16: Often they take our genetic health reports to the primary care physicians, who largely don't know how to interpret or act on the information.

Our efforts on the consumer side will now be focused on building a vertage between health and bookawareness and health risk and disease management with our new genomic health services.

Speaker 10: Our efforts on the consumer side will now be focused on building a vertage between health and bookawareness and health risk and disease management with our new genomic health services.

Our plan is to support patients from the first touch point through a continuum of care, being the trusted guide.

Speaker 17: Our plan is to support patients from the first touch point through a continuum of care, being the trusted guide.

Speaker 13: Our plan is to support patients from the first touch point through a continuum of care, being the trusted guideover the next few years, we plan to concentrate on the direct-to-consumer self-pay market. Once we establish ourselves in the DTP market then we can look into growing into other channels. This effort started with our acquisition and integration of reminate health and motea health and digital pharmacy services. Our next steps are to roll out our new genomic health services.

Over the next few years, we plan to concentrate on the direct-to-consumer self-pay market.

Speaker 17: Over the next few years, we plan to concentrate on the direct-to-consumer self-pay market.

Once we established ourselves in the DTC market then we can look into growing into other channels.

Speaker 9: Once we established ourselves in the DTC market then we can look into growing into other channels.

This effort started with our acquisition and integration of lemonate health and motela health and digital pharmacy services. Our next steps are to roll out our new genomic health services.

Speaker 10: This effort started with our acquisition and integration of lemonate health and motela health and digital pharmacy services. Our next steps are to roll out our new genomic health services.

Just this month we started data testing, a genetic support consultation service with clinicians who are trained in genetic health concept.

Speaker 10: Just this month we started data testing, a genetic support consultation service with clinicians who are trained in genetic health concept.

Speaker 13: Just this month we started data testing a genetic report consultations service with clinicians who are trained in genetic health concept. This service provides customers with the opportunity that have genetic report. compsultations are three of our genetic health risk report. These consultations can help customers better understand the potential impact of their genetic risk profile and discuss the next steps. This is just the start of our efforts in this area and I'm excited about the broader suite of services we plan to introduce later the year. A few notable milestones on the consumer site includes a recent expansion of our 23 membership service to customers in the? U K and Canada.

This service provides customers with the opportunity that have genevics report consultations on three of our genetic health risk reports.

Speaker 10: This service provides customers with the opportunity that have genevics report consultations on three of our genetic health risk reports.

These conplltations can help customers better understand the potential impact of their genetic risk profile and discuss the next steps.

Speaker 17: These conplltations can help customers better understand the potential impact of their genetic risk profile and discuss the next steps.

This is just the start of our efforts in this area, and I'm excited about the broader suite of services we plan to introduce later this year.

Speaker 10: This is just the start of our efforts in this area, and I'm excited about the broader suite of services we plan to introduce later this year.

A few notable milestones on the consumer sideite include a recent expansion of our 23 me plus membership service to customers in the U K and Canada.

Speaker 10: A few notable milestones on the consumer sideite include a recent expansion of our 23 me plus membership service to customers in the U K and Canada.

This service offers insightzing features to give members even more actionable information. To live healthier lies.

Speaker 9: This service offers insightzing features to give members even more actionable information. To live healthier lies.

Speaker 13: The service offers insighting features to give numbers even more actionable information to live healthier lives. We also launched three new reports for customers subscribe to 23 me -plus bring the total reports available to over sixtythe new reports released the last quarter included skin cancer, the verticuitis report, irritable batt syner reporton the therapeutic side of our business. We believe we have an advantage in drug target validation and drug development because we have the world's largest crowd, sourus platform for genic research.

We also launched three new reports for customers. Subscribe to 23 E -plus bring the total reports available to over 60 S.

Speaker 17: We also launched three new reports for customers. Subscribe to 23 E -plus bring the total reports available to over 60 S.

The new reports released this last quarter included skin cancer, the verticularitist report, irritable ball syer report.

Speaker 12: The new reports released this last quarter included skin cancer, the verticularitist report, irritable ball syer report.

On the therapeutic side of our business. We believe we have an advantage in drug target validation and drug development because we have the world's largest crowdssource platform for genic research.

Drug development is brought with failure. About 90% of drugs in development faile to become commercial medicines.

Speaker 4: Drug development is brought with failure. About 90% of drugs in development faile to become commercial medicines.

Speaker 13: Drug development is brought with failure. About 90% of drugs and development fail to become commercial medicineshowever studies have shown that drugs developed on genetically validated targets are twice as likely to succeed. And all of our targets are validated using unique- our unique genetic database containing tens of thousands of genetic associations with disease phenotypesour research platform has generated more than 200 publications on the genetic underpinnings of a wide range of diseases, conditions and traits, and review this research platform to create a pipeline of more than 50 programs, with two now in Phase one clinical trial. We believe that the therapeutics which come out of our discovery engine will eventually clag a significant role in helping people benefits from the human genomewith the combination of our personal genome service, our new genomic health services.

We believe that the therapeutics which come out of our discovery engine will eventually playag a significant role in helping people benefit from the human genome.

Speaker 5: We believe that the therapeutics which come out of our discovery engine will eventually playag a significant role in helping people benefit from the human genome.

Speaker 18: And our efforts to develop new therapeutics based on genetically validated targets, we believe we are poised to accomplish the full measure of our mission. I now turn the call over to kena to discuss our therapeutics program. Thank fan. Here at 23 and me, we are passionate about our customer driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and Ultima, tely benefit patients.

I now turn the call over to kenna to discuss our therapeutics program.

Speaker 12: I now turn the call over to kenna to discuss our therapeutics program.

And sand here at 23 and me, we are passionate about our customer-driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and ultimately benefit patients.

Speaker 18: And sand here at 23 and me, we are passionate about our customer-driven research platform and its potential to yield insights that could transform therapeutic target discovery, drug development and ultimately benefit patients.

Our database is the world's largest crowsource platform for health-related genetic research and has the potential to offer unique insights about diseases and how they can be treated.

Speaker 21: Our database is the world's largest crowsource platform for health-related genetic research and has the potential to offer unique insights about diseases and how they can be treated.

Speaker 7: Our database is the world's largest crowsource platform for health-related genetic research and has the potential to offer unique insights about diseasase and how they can be treated.

Speaker 7: With this resource, we have the opportunity to understand how changes in a gene affect our risk of disease. This is a very powerful way to identify drug targets, and it has been shown that targets backed by human genetic evidence have a significantly higher chance of becoming medicines than those that do not.

Our investments this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business.

Speaker 21: Our investments this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business.

Speaker 7: Our investments this last year in therapeutics has enabled us to achieve several key milestones in our therapeutics business. These include advancing 23 and me 16, our first whollyuun program, into the clinicsix 10 is an antibody that targets the CD 200 R one protein, which is an important regulator of both T-cell and miloid cell function.

These include advancing 23 and me 16, our first whollyuon program into the clinic.

Speaker 21: These include advancing 23 and me 16, our first whollyuon program into the clinic.

six 10 is an antibody that targets the CD 201 protein, which is an important regulator of both T-cell and miloid cell function.

Speaker 21: six 10 is an antibody that targets the CD 201 protein, which is an important regulator of both T-cell and miloid cell function.

Cd 200 R one was identified as a promising immuno-oncology targets from our proprietary genetic immuno-oncology signature that we developed using our large database of genetically linked phenotypes.

Speaker 7: Cd 200 R one was identified as a promising immuno-oncology targets from our proprietary genetic immuno-oncology signature that we developed using our large database of genetically linked phenotypes. We presented data on this program at this year's AC conference in March.

We presented data on this program at this year's ACR conference in March.

Speaker 19: We presented data on this program at this year's ACR conference in March.

Gsk is continuing to advance- GSK six zero eight in the clinic, with plans to touch this antibody targeting CD 96 in combination with multiple other immmunooncology drugs.

Speaker 21: Gsk is continuing to advance- GSK six zero eight in the clinic, with plans to touch this antibody targeting CD 96 in combination with multiple other immmunooncology drugs.

Speaker 7: Gsk is continuing to advance- GSK six zero eight in the clinic, with plans to test this antibody targeting CD 96 in combination with multiple other immunoon-cology drugs.

We elected our option earlier this year to transition to a royalty state in the year of continuing to share cost and profits.

Speaker 19: We elected our option earlier this year to transition to a royalty state in the year of continuing to share cost and profits.

Speaker 7: We elected our option earlier this year to transition to a royalty state in year of continuing to share cost and profitsand. Finally, GSK also exercised their opt to extend our discovery collaboration for a further year, for an additional $5 million.

And finally, GSK also exercised their auction to extend our discovery collaboration for a further year, for an additional $5 million.

Speaker 19: And finally, GSK also exercised their auction to extend our discovery collaboration for a further year, for an additional $5 million.

This decision demonstrates GSK's enthusiasm for our collabperation and the value of our database provides for identifying and advancing new medicines based on human genetics.

Speaker 21: This decision demonstrates GSK's enthusiasm for our collabperation and the value of our database provides for identifying and advancing new medicines based on human genetics.

Speaker 7: This decision demonstrates GSK's enthusiasm for our collaboration and the value of our database provides for identifying and advancing new medicines based on human genetics. Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over 50 theroputy targets and jointly advanced one program into clinical development.

Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over our 50 rpututy targets and jointly advanced one program into clinical development.

Speaker 19: Our collaboration with GSK has been very productive and in less than four years the collaboration has identified over our 50 rpututy targets and jointly advanced one program into clinical development.

As we move into this next fiscal year we plan to continue to advance- 23 in me six 6, 10 in clinical development.

Speaker 19: As we move into this next fiscal year we plan to continue to advance- 23 in me six 6, 10 in clinical development.

Speaker 7: As we move into this next fiscal year, we plan to continue to advance 23 in me 6, 10 and clinical developmentto progress new candidates in research and preclinical development and to identify new drug targets from our database as the number of genunotype customers and associated phhomacific data continues to grow.

We believe our growing understanding of humanum genetics and biology can result in significant value for patients.

Speaker 20: We believe our growing understanding of humanum genetics and biology can result in significant value for patients.

Speaker 7: We believe our growing understanding of human genetics, of biology, can result in significant value for patients. Now I'll turn it over to Steve to review our financial resultsthanks kennth. Fiscal year 2022 was a transitional year for 23 and may.

Now I'll turn it over to Steve to review our financial results.

Speaker 20: Now I'll turn it over to Steve to review our financial results.

Thanks kindnof.

Speaker 32: Thanks kindnof.

Fiscal year 2022 was a transitional year for 23 and meate.

Speaker 23: Fiscal year 2022 was a transitional year for 23 and meate.

Speaker 4: It was highlighted by our public listening in June 2021, followed in November by the strategically important acquisition of lemonade health, which now underpins our planned introduction of a genomic health service, as Anne discussed earlier.

While those were milestone accomplishments for the company, our existing day-to-day operations also made great progress.

Speaker 25: While those were milestone accomplishments for the company, our existing day-to-day operations also made great progress.

Speaker 4: While those were milestone accomplishments for the company, our existing day to-day operations also made great progressduring fiscal 2022, our personal genomic service, or PGs business, increased our customer count by one point five million genotype customers, or 13% to 12.8 million.

During fiscal 2022, our personal genomic service, or PGs business, increased our customer talt by one point five million genotype customers, or 13% to 12.8 million.

Speaker 26: During fiscal 2022, our personal genomic service, or PGs business, increased our customer talt by one point five million genotype customers, or 13% to 12.8 million.

Significantly extending our competitive data advantage.

Speaker 26: Significantly extending our competitive data advantage.

Speaker 4: Significantly extending our competitive data advantage. In addition, our active subscriber base in 23 and meet plus grew from 125 thousand to 425 thousand, contributing meaningfullyleet to revenue and gross margin while also improving on our average customer economics. Our investments in our therapeutics portfolio of increased our pipeline to more than 50 programs, as Kenneth F toldyou, and we moved to second 23 in me valid data program into the clinic. Our research services business will be sustained by GSK's election in January to remain our exclusive data partner or a fifth contract year.

Our investments in our therapeutics portfolio have increased our pipeline to more than 50 programs, as kenth has told you, and we move to second 23 and me valid dated program into the clinic.

Our research services business will be sustained by gk's election in January to remain our exclusive data partner for a fifth contract year.

Speaker 26: Our research services business will be sustained by gk's election in January to remain our exclusive data partner for a fifth contract year.

Which starts in July of 2022 and comes with a $5 million payment, which has doubled the previous annual payment.

Speaker 26: Which starts in July of 2022 and comes with a $5 million payment, which has doubled the previous annual payment.

Speaker 4: Which starts in July of 2022 and comes with a $5 million payment, which has doubled the previous annual payment. This extension is a clear signal of the increased value in our data platform and the insights it can produce. All in all, this was a very productive year strategically and operationally, and we continue to build real value. Now let's turn to financial performance. We will start off by noting that our 12 month results for the year ended March thirty-first 2022 were within our previously issued financial guidance ranges. Our revenue for the three and 12 months ended March thirty-first 2020 was $101.000272 trillion respectively, representing increases of 14% and 11% respectively over the same periods in the prior year. Fourth quarter revenue growth was primarily due to the inclusion of three month of telehealth revenue.

This extension is a clear signal of the increased value in our data platform and the insights it can produce.

Speaker 26: This extension is a clear signal of the increased value in our data platform and the insights it can produce.

All in all, this was a very productive year strategically and operationally, and we continue to build real value.

Speaker 26: All in all, this was a very productive year strategically and operationally, and we continue to build real value.

Now let's turn to financial performance.

Speaker 26: Now let's turn to financial performance.

We will start off by noting that our 12 -month results for the year-endended March thirty-first, twentthousand and 22 were within our previously issued financial guidance ranges.

Speaker 26: We will start off by noting that our 12 -month results for the year-endended March thirty-first, twentthousand and 22 were within our previously issued financial guidance ranges.

Our revenue for the three and 12 months ended March thir, ty-first, twent Y and 22 was $101.000272 trillion respectively.

Speaker 27: Our revenue for the three and 12 months ended March thir, ty-first, twent Y and 22 was $101.000272 trillion respectively.

Representing increases of 14% and 11% respectively over the same periods in the prior year.

Speaker 26: Representing increases of 14% and 11% respectively over the same periods in the prior year.

Fourth quarter revenue growth was primarily due to the inclusion of three months of telehealth revenue and higher research services revenue versus the prior year period.

Speaker 26: Fourth quarter revenue growth was primarily due to the inclusion of three months of telehealth revenue and higher research services revenue versus the prior year period.

These increases were partially offset by lower PGs revenue.

Speaker 26: These increases were partially offset by lower PGs revenue.

Speaker 4: And higher research services revenue versus the prior year period. These increases were partially offset by lower PGs revenue. 12 month venue growth was primarily driven by the inclusion of five th of telehealth revenue and by increased subscription and research services revenue. Looking at the composition of our revenue, consumer services revenue, which includes both our PGs and ourtele health services, represented approximately 83% of total revenue for the three months and 82% of total revenue forthe 12 months ended March thirty-first twent thousand and 22, and research services revenue, which was substantially all from the gk collaboration, accounted for approximately 17% of total revenue for the three months and 18% total revenue for 12 months ended March thirty-first twent thousand and 22. our gross profit for the three and 12 months ended March ty-first two thousand and 22.

12 -month revenue growth was primarily driven by the inclusion of five -months of telehealth revenue and by increased subscription and research services revenue.

Speaker 26: 12 -month revenue growth was primarily driven by the inclusion of five -months of telehealth revenue and by increased subscription and research services revenue.

Looking at the composition of our revenue, consumer services revenue, which includes both our PGs and artela health services, represented approximately 83% of total revenue for the three months and 82% in total revenue for the 12 months ended March thirty-first 2022. and research services revenue, which was substantially all from the GSK collaboration, accounted for approximately 17% of total revenue for the three months and 80% in total revenue for the 12 months ended March thirty-first 2022.

Speaker 2: Looking at the composition of our revenue, consumer services revenue, which includes both our PGs and artela health services, represented approximately 83% of total revenue for the three months and 82% in total revenue for the 12 months ended March thirty-first 2022. and research services revenue, which was substantially all from the GSK collaboration, accounted for approximately 17% of total revenue for the three months and 80% in total revenue for the 12 months ended March thirty-first 2022.

Our gross profit for the three and 12 months ended March thirty-first 2022 with $47.000133 trillion respectively, representing a 6% and 14% increase over the same periods in the prior year.

Speaker 2: Our gross profit for the three and 12 months ended March thirty-first 2022 with $47.000133 trillion respectively, representing a 6% and 14% increase over the same periods in the prior year.

Speaker 4: Was $47.000133 trillion respectively, representing a 6% and 14% increase over the same periods in the prior year. The improvement in fourth quarter gross profit was driven by the increased revenues previously mentioned, while the 12 -month period additionally benefited from cost efficiencies within PGs cost of sales.

Speaker 22: Operating expenses for the three and 12 months ended March thirty-first 2022 were one hundred and seventeen million and three hundred and seven $87 million respectively, compared to one hundred and 12 million and three hundred and two million dollars for the same period of the prior year.

The increase in operating expenses for both periods was attributable.

Speaker 26: The increase in operating expenses for both periods was attributable.

To several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGs business.

Speaker 26: To several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGs business.

Speaker 4: The increase in operating expenses for both periods was attributable to several factors, including increased sales and marketing expenses consistent with the promotional activities of the PGs business.

The addition of telehealth operational expenses.

Speaker 26: The addition of telehealth operational expenses.

Increased therapeutics related research and development expenses.

Speaker 26: Increased therapeutics related research and development expenses.

Speaker 4: The addition of telehealth operational expenses, increased therapeutics related research and development expensesa onetime net litigation settlement payment and, in the case of the 12 -month period, onetime transaction costs associated with the acquisition of lemonade health.

A onetime net litigation settlement payment and, in the case of the 12 -month period, onetime transaction costs associated with the acquisition of lemonade health.

Speaker 26: A onetime net litigation settlement payment and, in the case of the 12 -month period, onetime transaction costs associated with the acquisition of lemonade health.

Looking at the bottom line, net loss for the three and 12 -month periods ended March thirty-first, twent thousand and 22 was $70.000217 trillion respectively, compared to net losses for the same th period in the prior year of $67.000184 trillion respectively.

Speaker 2: Looking at the bottom line, net loss for the three and 12 -month periods ended March thirty-first, twent thousand and 22 was $70.000217 trillion respectively, compared to net losses for the same th period in the prior year of $67.000184 trillion respectively.

Speaker 22: Looking at the bottom line, net loss for the three and 12 -month periods ended March thirty-first, twent thousand and 22 was $70.000217 trillion respectively, compared to net losses for the same th period in the prior year of $67.000184 trillion respectively.

The increase in net loss for the three and 12 -th periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 -month period, by a favorable change in fair value of warrant liabilities of thirty-three million.

Speaker 26: The increase in net loss for the three and 12 -th periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 -month period, by a favorable change in fair value of warrant liabilities of thirty-three million.

Speaker 4: The increase in net loss for the three and 12 -month periods were primarily driven by higher operating expenses, as noted earlier and, in the case of the 12 -month period, by a favorable change in fair value of warrant liabilities of thirty-three million.

Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Speaker 2: Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Speaker 4: Next let us look at our adjusted EBITDA. For details about how we define adjusted EBITDA and related reconciliations, please see our earnings press release.

Speaker 4: Total adjusted EBITDA for the three and 12 months ended March thirty-first 2022 was a deficit of $30.000151 trillion respectively, compared to deficits for the same period in the prior year of $11.000077 trillion respectivelythe increase in total adjusted EBITDA evence, was driven primarily by the increase in operating expenses mentioned previouslylooking specifically at the adjusted EBITDA for the three and 12 months ended March thirty-first 2022, for the consumer and research services segmentwe saw a surplus of three million doll for the fourth quarter and a defic of 30 mion dollars for the full year, compared to surpluses in the same periods in the prior year of $18.000013 trillion respectivelywe note that quarterly adjusted EBITDA for the consumer and research services segment had exhibited seasonal variation.

The increase in total adjusted EBITDA besel was driven primarily by the increase in operating expenses mentioned previously.

Speaker 26: The increase in total adjusted EBITDA besel was driven primarily by the increase in operating expenses mentioned previously.

Speaker 23: Looking specifically at the adjusted EBITDA for the three and 12 months ended March thirty-first 2022, for the consumer and research services segmentwe saw a surplus of three million dollars for the fourth quarter and a deficit of $3 million for the full year, compared to surpluses in the same periods in the prior year of $18.000013 trillion respectively.

We note that quarterly adjusted EBITDA for the consumer and research services segment has exhibited seasonable variation.

Speaker 26: We note that quarterly adjusted EBITDA for the consumer and research services segment has exhibited seasonable variation.

Just as the segment's top line doess.

Speaker 26: Just as the segment's top line doess.

And is impacted by factors including PGs, revenue recognition, timing and the pattern of our media spending, which is varied over time. For this reason, we focus managerally on our full year adjusted EBITDA performance.

Speaker 26: And is impacted by factors including PGs, revenue recognition, timing and the pattern of our media spending, which is varied over time. For this reason, we focus managerally on our full year adjusted EBITDA performance.

Speaker 20: Just as the segment's top line DOS and is impacted by factors including PGs, revenue recognition, timing and the pattern of our media spending, which was varied over time. For this reason, we focus managerally on our full year adjusted EBITDA performance. Full year adjusted 2022 EBITDA deficit in this consumer and research services segment versus prior year surplus was driven primarily by the previously mentioned increase sales and marketing expensus, as well as the impact from inclusion of five months of telehealth resultswe will continue to work towards returning the consumer and research services segment to cash flow breakeven and above over time as we expand our consumer office offerings with our new genomic health serviceswe ended the quarter with a solid balance sheet, including five hundred and Fifty-three million dollars in cash, which provides us with sufficient capital to continue to advance both segments.

Speaker 22: The full year adjusted 2022 EBITDA deficit in this consumer and research services segment versus prior year surplus was driven primarily by the previously mentioned increase in sales and marketing expensesus, as well as the impact from inclusion of five months of telehealth results.

We ended the quarter with a solid balance sheet, including $553 million in cash, which provides us with sufficient capital to continue to advance both segments.

Speaker 1: We ended the quarter with a solid balance sheet, including $553 million in cash, which provides us with sufficient capital to continue to advance both segments.

Now let's turn to our updated guidance.

Speaker 26: Now let's turn to our updated guidance.

Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial markets.

Speaker 27: Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial markets.

Speaker 20: Now let's turn to our updated guidance. Our full year fiscal 2023 guidance is based on a conservative approach to planning, recognizing the current uncertainties in the general economy and in financial marketswithin the existing consumer businesses of PGs and telehealth, we are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth.

Within the existing consumer businesses of PGs telehealth. We are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth.

Speaker 47: Within the existing consumer businesses of PGs telehealth. We are prioritizing the minimization of adjusted EBITDA deficit rather than maximizing top line growth.

Speaker 23: For those business segments expected to drive future growth, which include the company's new genomic health services and our therapeutics business, we plan to focus on the most strategically and financially valuable options and invest appropriately in each.

Speaker 20: For those business segments expected to drive future growth, which include the company's new genomic health services and our therapeutics business, we plan to focus on the most strategically and financially valuable options and invest appropriately in each.

Speaker 23: Because the new genomic health service is not anticipated to fully launch until later in the fiscal year, we do not foresee meaningful revenue contribution from these new consumer products and services within fiscal year 2020. -three.

Speaker 20: Because the new genomic health service is not anticipated to fully launch until later in the fiscal year, we do not foresee meaningful revenue contribution from these new consumer products and services within fiscal year 2020. -three.

As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, versusis only five months in fiscal year 2020 -two.

Speaker 26: As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, versusis only five months in fiscal year 2020 -two.

Speaker 20: As a reminder, our fiscal year 2023 guidance carries the full year impact of the consolidation of the telehealth business into the company's overall consumer segment, versus only five months in fiscal year 2022, as well as including the current and anticipated effects of general inflation on certain of our costs.

As well as including the current and anticipated effects of general inflation on certain of our costs.

Speaker 26: As well as including the current and anticipated effects of general inflation on certain of our costs.

With that is background we are projecting full year revenue revenue for fiscal year 2020 -three and.

Speaker 24: With that is background we are projecting full year revenue revenue for fiscal year 2020 -three and.

Speaker 20: With that is background. We are projecting full year revenue revenue for fiscal year 2023, which will end on March thirty-first of 2023, to be in the range of 260 to $28 million. We are projecting full year GAAP net loss to be in the range of 350 to 37 million dollarsand finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of 195 to $215 million.

Which will end on March thirty-first of 2023, to be in the range of 216 to $28 million.

Speaker 26: Which will end on March thirty-first of 2023, to be in the range of 216 to $28 million.

We are projecting full year GAAP net loss to be in the range of 350 to $37 million.

Speaker 2: We are projecting full year GAAP net loss to be in the range of 350 to $37 million.

And finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of 195 to $215 million.

Speaker 26: And finally, we are projecting our consolidated full year adjusted EBITDA deficit to be in the range of 195 to $215 million.

With that, I will now turn the call back over to an.

Speaker 2: With that, I will now turn the call back over to an.

Thank you, Steve. As you can see, we have a big agenda for the coming year. We are excited for the challenge and for the opportunity.

Speaker 28: Thank you, Steve. As you can see, we have a big agenda for the coming year. We are excited for the challenge and for the opportunity.

Speaker 20: With that. I will now turn the call back over to annethank. You, steveas. You can see we have a big agenda for the coming year. We are excited for the challenge and for the opportunity.

Our success in this endeavor is a win for millions of people.

Speaker 17: Our success in this endeavor is a win for millions of people.

Now let's open it up for question.

Speaker 11: Now let's open it up for question.

Speaker 13: Our success in this endeavor is they win for millions of peoplenow let's open it up for question at this plan. To ask a question, please press star one on your touchstone phone and if you like to get out of the Cube, please press the P key with again that Star one for questions: St one

At this plan. To ask the question, please press star one or your touch phone phone and if you like to get out of the Cube, please press the poundkey once again, that Star one for questions St one

Speaker 1: At this plan. To ask the question, please press star one or your touch phone phone and if you like to get out of the Cube, please press the poundkey once again, that Star one for questions St one

First question counc line Tiago fephone from quite a sice. Your line is open.

Speaker 1: First question counc line Tiago fephone from quite a sice. Your line is open.

Speaker 8: Question comes line Ti phoneones from. Quite a swee line is openthank question. So just two quick ones for me. So the first one is just on cash run expectations for 23 or perhaps your current cash position and how much runway is that while you given the current operational plan- and I have a couple of questions on the therapeut side- just any talks on and you readave through from Le D, it readout across the space to the C D 96 asset and an expectation is the positional programs, perhaps entering clinic now that you have 50 active programs. No, it's hard to have visibility, but what could be a reasonable base going forward. Thank you, thanks. Let me hand that Steve to answer the first part. i'llious I can the second.

D to the question. So just two quick ones for me. So the first one is just on cash F expectations for 23, or perhaps your current cash position, and how much runway does that Val you, given the current operational plan?

Speaker 29: D to the question. So just two quick ones for me. So the first one is just on cash F expectations for 23, or perhaps your current cash position, and how much runway does that Val you, given the current operational plan?

I have a couple of questions on the therapeutic side. Just talks on any readthrough from the inteit, a readout across the space to the CD 96 asset, and then expectation is about additional programs, perhaps entering clinic. Now that you have 50 active programs. No, it's hard to have visibility, but what could be a reasonable bace going forward? Thank you.

Speaker 30: I have a couple of questions on the therapeutic side. Just talks on any readthrough from the inteit, a readout across the space to the CD 96 asset, and then expectation is about additional programs, perhaps entering clinic. Now that you have 50 active programs. No, it's hard to have visibility, but what could be a reasonable bace going forward? Thank you.

Thanks Diego. Let me hand that to Steve to answer the first part in obviously, kennea for the second.

Speaker 4: Thanks Diego. Let me hand that to Steve to answer the first part in obviously, kennea for the second.

Yes sure So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA operating cash flow guidance ofone 95 to to 15 and it gives you a sense ofkind of what that runway is in terms of. If that were the sustained kind of burn rate for the next couple of years and so you can kind of look. At that. We only give guidance for this one year on that front. But more generally I would say this.

Speaker 3: Yes sure So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA operating cash flow guidance ofone 95 to to 15 and it gives you a sense ofkind of what that runway is in terms of. If that were the sustained kind of burn rate for the next couple of years and so you can kind of look. At that. We only give guidance for this one year on that front. But more generally I would say this.

Speaker 20: Yes sure So with starting with the $553 million balance that we talked about you can kind of put that side by side with the adjusted EBITDA operating cash flow guidance ofone 95 to to 15 and it gives you a sense of kind of what that runway is in terms of if that were the sustained kind of burn rate for the next couple of years and so you can kind of look at that. We we only give guidance for this one year on that front but more generally I would say thisconfiguration gives us a certain amount of time flexibility as we think about funding the company in the future and I think even though we do have.

Configuration gives us a certain amount of time flexibility as we think about funding the company in the future and I think, even though we do have some benefit of timewe're as appropriate.

Speaker 26: Configuration gives us a certain amount of time flexibility as we think about funding the company in the future and I think, even though we do have some benefit of timewe're as appropriate.

We'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and, as a' kind of the way we're looking at it right now.

Speaker 26: We'll look at every option that makes sense for us to think about a next funding for this company, and I think we'll be opportunistic over time because we do have the benefit of time and, as a' kind of the way we're looking at it right now.

Speaker 20: Some benefit of time're as appropriate we'll look at every option that makes sense for us to think about a next funding for this company. And I think you will be opportunistic over time because we do have the benefit of time and as a's kind of the way we're looking at it right nowthank yes sure thanks and Diego. Maybe I can just took first of all just I think you asked about kind of recent data. You know one of the pieces of data was Roche report data further and T digit antibody both in a trial and small lung cancerand. Then a second tri and N small LG cancer that small celle lungcancer trial that was a negative study in the nill small CE lung cancer. The study you know didn't need it Cook primary endpoint of progressation free survival. So it's clearly know I think a bit of a disappointment. There. The Roche did see's obvly hard to interpret but they did say that this first analysis that.

Thank ste. Yes, your thanks. Then tego, maybe I can just talk first of all. Just, I think you're asked about kind of recent data. one of the pieces of data was rossche report data, further antiigit antibody, both in a trial and small CE lung cancer, and then a second trial and non FAL LG cancer, that small celle lung cancertrial. That was a negative study in the N small cell lung cancer. The study, you know, didn't need it: co primary endpoint of progression, free survival. So it's clearly, I think, a bit of a disappointment there. Roche did see it's obviously hard to interpret, but they did say that this first analysis o data was a mature. The study is continuing and they also not. There was a numerical improvement in both of the co PRIM endpoint. So I think we'lljust have to wait and see how that data continues to emerge.

Speaker 1: Thank ste. Yes, your thanks. Then tego, maybe I can just talk first of all. Just, I think you're asked about kind of recent data. one of the pieces of data was rossche report data, further antiigit antibody, both in a trial and small CE lung cancer, and then a second trial and non FAL LG cancer, that small celle lung cancertrial. That was a negative study in the N small cell lung cancer. The study, you know, didn't need it: co primary endpoint of progression, free survival. So it's clearly, I think, a bit of a disappointment there. Roche did see it's obviously hard to interpret, but they did say that this first analysis o data was a mature. The study is continuing and they also not. There was a numerical improvement in both of the co PRIM endpoint. So I think we'lljust have to wait and see how that data continues to emerge.

Speaker 7: sdata was a mature. The study is continuing and they also not. There was a numerical improvement in both of the co primaryendpoin. So I think we'll just have to wait and see how that data continues to emerge. In terms of what that means for the CD 96 program, as you know from our immid-oncology signature, the genetics and that pathway around CD two 2, six and so one of the things that gk had invested in- not just the collaboration program we had with them on C 96 but also in antitigit antibodies with its and then also an antp V rig antibody with with the surface oncology and I think one of the potentiial interesting things is the ability to really drug multiple parts of that pathway. The CD sixantibody, as you know, continues in Phase one GSK is now leading that and they will really be responsible for communications plans moving forwards. But hopefully least that somebody helpful that that makes sense, appreciate that.

In terms of what that means for the CD 96 program. As you know, from our immuno-oncology signature the genetics and that path way are around CD two two 6, and so one of the things that gk had invested in- not just the collaboration program we had with them on C 96 but also in antitigit antibodies with itos and then also an antpv rig antibody with the surface oncology and I think one of the potentially interesting things is the ability to really drug multiple parts of that pathway. The CD ited antibody, as you know, continues in Phase one gk is now leading that and they will really be responsible for communication plans moving forwards. But hopefully that somebody helpful.

Speaker 20: In terms of what that means for the CD 96 program. As you know, from our immuno-oncology signature the genetics and that path way are around CD two two 6, and so one of the things that gk had invested in- not just the collaboration program we had with them on C 96 but also in antitigit antibodies with itos and then also an antpv rig antibody with the surface oncology and I think one of the potentially interesting things is the ability to really drug multiple parts of that pathway. The CD ited antibody, as you know, continues in Phase one gk is now leading that and they will really be responsible for communication plans moving forwards. But hopefully that somebody helpful.

D of themmics has appreciated thanks.

Speaker 31: D of themmics has appreciated thanks.

And then you asked about kind of where things were in the pipeline. Again, in part because of the GSK collaboration. There's not a great deal that we can say about programs but obviously we do have. So we've identified 60 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing advance those. But we haveven provided any further guidance and when we would expect next and D or next pase one program we're really working very hard on, very excited about the CD 200 did our one program which is starting thesease one studies in January of this year.

Speaker 19: And then you asked about kind of where things were in the pipeline. Again, in part because of the GSK collaboration. There's not a great deal that we can say about programs but obviously we do have. So we've identified 60 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing advance those. But we haveven provided any further guidance and when we would expect next and D or next pase one program we're really working very hard on, very excited about the CD 200 did our one program which is starting thesease one studies in January of this year.

Speaker 7: And then you asked about kind of where things were in the pipeline. Again, in part because of the gssk collaboration, there's not a great deal that we can say about programs but obxiousy we do have. So we've identified 50 targets from the database. So we've many programs in our portfolio and so I think I remain optimistic about continuing fitbans those. But we have provided any further guidance and when we would expect next time and D or next ase one program we're really working very hard on, very excited about the CD 200. our one program which is, you know, start abase one studies in January of this year got about that. Thanks again for taking the question.

Guard now that makes sense. But thanks for and for taking the question.

Speaker 27: Guard now that makes sense. But thanks for and for taking the question.

Do you earn? Next question and countryferen line of Daniel gross light from City. Your line is open.

Speaker 1: Do you earn? Next question and countryferen line of Daniel gross light from City. Your line is open.

Speaker 1: Our next question line of Daniel gross light from City. Your line is openguysthank for taking the question. The can go back to guidance for 23 and helps us kind of bridge some of these numbers. For me So it seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So So revenue at the midpoint is effectively flat, but it does also include a full year of lemonade revenuees, So kind of that. Core organic revenue is going to be down for the year and then adjusted gbita Lo is is also increasing by around five million for for the midpoint. So doesn't seem like you're getting the immediate impact of titrating some of the consumer growth down. So I assume that you know the. The increase in the loss is due to increased therapeutics and this new genomic health service.

Guys are taking the question, the can go back to guidance for 23 and helps kind of bridge some of these numbers. For me So seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So So revenue at the midpoint is effectively flat, but it does also include a full year of elemonade revenuees, So kind of that core organic revenue is going to be down for the year and then adjusted gbitda loss is is also increasing by around five million. For for the midpoint, soit doesn't seem like youre getting the immediate impact of titrating some of the consumer growth down. So I assume that you know the. The increase in the loss is due to increased therapeutics and this new genomevic health service investmentbut maybe if you could put a finer point on that and help bridge between the slowdown in revenue growth organically and the expansion of the loss and 23.

Speaker 32: Guys are taking the question, the can go back to guidance for 23 and helps kind of bridge some of these numbers. For me So seems like your titrating growth down as you focus more on profitability, which makes a lot of sense. So So revenue at the midpoint is effectively flat, but it does also include a full year of elemonade revenuees, So kind of that core organic revenue is going to be down for the year and then adjusted gbitda loss is is also increasing by around five million. For for the midpoint, soit doesn't seem like youre getting the immediate impact of titrating some of the consumer growth down. So I assume that you know the. The increase in the loss is due to increased therapeutics and this new genomevic health service investmentbut maybe if you could put a finer point on that and help bridge between the slowdown in revenue growth organically and the expansion of the loss and 23.

Speaker 12: Investment but maybe if you could put a finer point of that and help bridge between the slowdown in revenue growth organically and the the expansion of the loss of 23 absolutely let me have the to per yes for sure yes. So as you noted the top line comes with 12 months versus to five months of this year of the top line of telehealth. It also comes with a full year of the bottom line of telehealth. So that's part of what gives rise to that difference and that's that if the consumer research services segment component of EBITDA and and and as you noted we have a continually growing investment on the therapeutic side. That's giving rise to part of that the other thing that's going on here and is that we have.

Absolutely let me hand the T you the firstyes for sureyes So.

Speaker 27: Absolutely let me hand the T you the firstyes for sureyes So.

As you noted, the top line comes with 12 months versus five months of this year, of the top line of telehealth. It also comes with a full year, the bottom line of telehe. So that's part of what gives rise to that difference and that's that- the consumer ressearch services segment component of EBITDA, and and and, as you noted, we have you a continually growing investment on the therapeutic side. That's giving rise to part of that. The other thing that's going on here and is that we have know we have just the inflationary costs on our labor base which you is running at a higher rate, terms of MERIT promo, all of those things across the entirety of the company during this inflationary time and and so that's that's going to run really throughout the the business. And so, and then, in terms of like, specifically how, the work that will do to launch the new products, while there will be some modest incremental hiring, I think, I think the effects of actually getting that launch and getting that out there won't be as big impact, for instance, as just taking on the 12 months of the telehealth business operating expenses and that sort of thing. So just to put those in in relativity.

Speaker 26: As you noted, the top line comes with 12 months versus five months of this year, of the top line of telehealth. It also comes with a full year, the bottom line of telehe. So that's part of what gives rise to that difference and that's that- the consumer ressearch services segment component of EBITDA, and and and, as you noted, we have you a continually growing investment on the therapeutic side. That's giving rise to part of that. The other thing that's going on here and is that we have know we have just the inflationary costs on our labor base which you is running at a higher rate, terms of MERIT promo, all of those things across the entirety of the company during this inflationary time and and so that's that's going to run really throughout the the business. And so, and then, in terms of like, specifically how, the work that will do to launch the new products, while there will be some modest incremental hiring, I think, I think the effects of actually getting that launch and getting that out there won't be as big impact, for instance, as just taking on the 12 months of the telehealth business operating expenses and that sort of thing. So just to put those in in relativity.

Speaker 20: We have just the inflationary costs on our labor base, which is running at a higher rate terms of meritan promo, all of those things across the entirety of of the company during this inflationary time and and so that's that's going to run really throughout the the business. And so and then in terms of like specifically how the work that will do to launch the new products, while there will be some modest incremental hiring, I think I think the effects of actually getting that launch and getting that out there won't be as big impact, for instance, just taking on the 12 months of the telehealth business operating expenses and that sort of thing. So just to put those in relativity Yeah, that's all OK and I just want to understand that this new genic health service a little bit better are. It's this the service that connects.

Yes that's howful okay, and I just want to understand that this new genomic health service a little bit better. Is this the service that connects the 23 and me?

Speaker 33: Yes that's howful okay, and I just want to understand that this new genomic health service a little bit better. Is this the service that connects the 23 and me?

Report readouts with eliminade provider. Or is this something in addition to eliminade provider that you're going to be investing in?

Speaker 33: Report readouts with eliminade provider. Or is this something in addition to eliminade provider that you're going to be investing in?

Speaker 12: The 23 and me report readouts with eliminate provider, or is this something in addition to eleminate provider that you're going to be investing in? If it is really about connecting, the first step I would say is really about connecting our customers, as well as future customers, with a care provider if they want to be able to best interpret to best health with the information- and I think part of that also gets people on to you know a plan for how do you actually implement this information your life. So we look at- you know we said this also as part of our back office- like the beginnings with the subscription product, and how do we actually really enhance that more and more with part eleminate acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmaccoach genetics. So you know, we recently launched a very data product.

It it is really about connecting. The first step, I would say, is really about connecting our customers, as well as future customers, with a care provider if they want to be able to best interpret to best health. With the information- and I think part of that also gets people on to, you know, a plan for how do you actually implement this information into your life. So we look at- you know we said this also as part of our back process- like the beginnings with the subscription product, and how do we actually really enhance that more and more with part of eliminate acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmaccoachgenetics. So it you know we recently launched a very data product, you know, with a couple reports giving access to care, and I think you can imagine that we will have and what comprehensive offering, you know, later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers get access to a care provider. You know, I thought all of the whole kind of plan.

Speaker 27: It it is really about connecting. The first step, I would say, is really about connecting our customers, as well as future customers, with a care provider if they want to be able to best interpret to best health. With the information- and I think part of that also gets people on to, you know, a plan for how do you actually implement this information into your life. So we look at- you know we said this also as part of our back process- like the beginnings with the subscription product, and how do we actually really enhance that more and more with part of eliminate acquisition, with access to the health care providers as well as the pharmacy component and being able to really do pharmaccoachgenetics. So it you know we recently launched a very data product, you know, with a couple reports giving access to care, and I think you can imagine that we will have and what comprehensive offering, you know, later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers get access to a care provider. You know, I thought all of the whole kind of plan.

Speaker 5: You know, with a couple reports giving access to care, and I think you can imagine that we will have and what comprehensive offering you know, later in, later in the year, early next year, with respect to how do we really, you know, help our customers and future customers get access to a care provider? Yeah, you know, I thought all of the whole kind of plan that makes it and so what would be economic model there be? Would I have like a button, noton my 23 in the app, say connect to a care provider, and then, you know, you charge me 50 bucks or something for that, or a subscription? How are you thinking about monetizing that? Yeah, I mean, I think that you're tapping. I think that is what is happening today. So I don't know if's not about to 100% of our customers, but there's be the testing right now with some of our customers saying what type, what are the type of services you want to get. Like I said, I think that you can expect us to be doing an, investing a lot more work into our subscription programs.

That makes sense and and so what would be economic model there be? Would I have like a button on my 23 in the appis as connect to a care provider and then you know you charge me 50 buckes or something for that, or a subscription. How are you thinking about monetizing that?

Speaker 33: That makes sense and and so what would be economic model there be? Would I have like a button on my 23 in the appis as connect to a care provider and then you know you charge me 50 buckes or something for that, or a subscription. How are you thinking about monetizing that?

Yes I mean, I think that you're tappping. I think that is what is happening today. So I don't know if it's not about two 100 per of our tomers, but there's be the testing right now with some of our customers ING what Ty, what are the types of services you want to get? Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

Speaker 34: Yes I mean, I think that you're tappping. I think that is what is happening today. So I don't know if it's not about two 100 per of our tomers, but there's be the testing right now with some of our customers ING what Ty, what are the types of services you want to get? Like I said, I think that you can expect us to be doing and investing a lot more work into our subscription programs.

So I think that's where you know fundamentally, when I think back on the last 16 years with a company and our engagement rate, we have incredibly high engagement. People come back over and over again and so there's clearly a demand: will people want more? And so when I think about ability for us to provide care services- it's not always, you know, having to talk to a coach, but it could be veryar online services that are, you know, directed by a medical professional- that help you really take advantage of the information. And again, the focus reus really has been on to that that need of prevention. And if you look at a lot of our reports, they really help people open up the door to saying: you know you don't yet have a condition, but you have the opportunity to tent you prevent, So how can we now help you implement that into your life?

Speaker 35: So I think that's where you know fundamentally, when I think back on the last 16 years with a company and our engagement rate, we have incredibly high engagement. People come back over and over again and so there's clearly a demand: will people want more? And so when I think about ability for us to provide care services- it's not always, you know, having to talk to a coach, but it could be veryar online services that are, you know, directed by a medical professional- that help you really take advantage of the information. And again, the focus reus really has been on to that that need of prevention. And if you look at a lot of our reports, they really help people open up the door to saying: you know you don't yet have a condition, but you have the opportunity to tent you prevent, So how can we now help you implement that into your life?

Speaker 15: So I think that's where you know fundamentally when I think back on the last 16 years of the company and our engagement rates we have incredibly highind engagement. People come back over and over again and so there's clearly a demand will people a lot more and so when I think about ability for us to provide care services. It's not always you know having to talk to a coach but it could be very online services that are you know directed by a medical professional that help you really take advantage of the information and again the focus for us really has been on to that that need of prevention and if you look at a lot of our reports they really help people open up the door to saying you know you don't yet have a condmissition but you have the opportunity to potentallyyou prevent. So how can we now help you implement that into your life. Yeah OK I then on on the lemonade piece of the business outside of this new service that you're you're building out but kind of the core lemonade or I would say legacy lemonade. There's obviously been a lot of and ste you mention this to inflation in in actxs and it's but especially when you're talking about marketing direct to consumer and some of the social.

yeahp, okay. And then on on the lemonade piece of the business, outside of this new service that you're you're building out, but kind of the core lemonade or, or I would say, legacy lemonade. There's obviously been a lot of ste- you mentioned this- to inflation in in tax and it's, but especially when you're talking about marketing direct to consumer and some of the social and search channels, that has weighed on all of the a D, T C oriented company results. How are you thinking about spend in some of the Lemon, legacy lemonade channels to to acquire customers, particularly the mental health and and some of these other very competitive spaces which have really deteriated unit economics in the space?

Speaker 36: yeahp, okay. And then on on the lemonade piece of the business, outside of this new service that you're you're building out, but kind of the core lemonade or, or I would say, legacy lemonade. There's obviously been a lot of ste- you mentioned this- to inflation in in tax and it's, but especially when you're talking about marketing direct to consumer and some of the social and search channels, that has weighed on all of the a D, T C oriented company results. How are you thinking about spend in some of the Lemon, legacy lemonade channels to to acquire customers, particularly the mental health and and some of these other very competitive spaces which have really deteriated unit economics in the space?

Speaker 12: And search channels that has laided on all the a D T, C oriented company results. How are you thinking about spend in some of the the lemonade legacy lemonade channels to acquire customers, particularly to the mental health and some of these other very competitive spaces which have really deteriorated unit economics in the space? Yeah, let me answer that to begin with and then handed over to see, I would say, the reason, the reason again for us buying lemonade, but we to get that infrastructure and all those pieces in place so that we could execute on genomiccmedicine. And I absolutely, like I hear you in terms of you know, packling up and it more competitive. The differentiator that 23 we has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations that in integrgreatate genetic information.

Yeah let me answer that to begin with, and then handed over to theve, I would say the reason, the reason again for us buying lemonade was really to get that infrastructure and all those pieces in place so that we could execute on genom iccmedicine. And I absolutely like I hear you in terms of you know pack going up and you know it's more competitive. The differentiator that 23 me has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations, that in a great genetic information and there's no one else really in a position to do that.

Speaker 37: Yeah let me answer that to begin with, and then handed over to theve, I would say the reason, the reason again for us buying lemonade was really to get that infrastructure and all those pieces in place so that we could execute on genom iccmedicine. And I absolutely like I hear you in terms of you know pack going up and you know it's more competitive. The differentiator that 23 me has is the connection to your genome and the 13 million customers we have that are quite engaged. So when I think about the opportunity for us, it's really about delivering personalized care, personalized recommendations, that in a great genetic information and there's no one else really in a position to do that.

Steve, do you want to jump in? If, as anything else, specific in terms of numbers.

Speaker 38: Steve, do you want to jump in? If, as anything else, specific in terms of numbers.

Speaker 6: And there's no one else really in a position to do that. Steve johon to jump in if there's anything out for them in terms of those members is the the number one category that we focused on at the increment and setting up the plan for this year and, as I I mentioned in in the guidance, I mean we're we're not planning on anything material coming from the new businesses this year as and of team get those built and tested, rolled out, and so we're the legacy businesses, as they're currently configured are, are the drivers of the top line and the way that we're resourcing them and there is inflation in media spend and we've taken that into account in looking at the efficacy of our media spend and I think will be will be dialing that back a little bit. As you noted we, as we've talked about, we're emphasizing cash efficiency in this business over just your top line growth.

Is thefin into the number one category that we focused on at the increment in setting up the plan for this year and as I mentioned in the guidance I mean we 're.

Speaker 39: Is thefin into the number one category that we focused on at the increment in setting up the plan for this year and as I mentioned in the guidance I mean we 're.

We're not planning on anything material coming from the new businesses this year as team, get those built and tested and rolled out, and so we're the legacy. Businesses, as they're currently configured are, are the drivers of the top line and the way that we're resourcing them and there is inflation in the spend and we've taken that into account and looking at the efficacy of our media spend and I think we be'll be dialing that back a little bit. As you noted we, as we've talked about, we're emphasizing cash efficiency in this business over just your top line growth.

Speaker 26: We're not planning on anything material coming from the new businesses this year as team, get those built and tested and rolled out, and so we're the legacy. Businesses, as they're currently configured are, are the drivers of the top line and the way that we're resourcing them and there is inflation in the spend and we've taken that into account and looking at the efficacy of our media spend and I think we be'll be dialing that back a little bit. As you noted we, as we've talked about, we're emphasizing cash efficiency in this business over just your top line growth.

This year got end and last one for me. I'll HO back in the queue here just on the C D 96 asset. Are you still expecting a a readout this year? On C D 96, I think G's K filed or noted. I want this call that it. It's now going to pushed out a little bit but that might be a different combo trial OD. I'm just curious if that C D 96 read, that is still expected for for this year.

Speaker 2: This year got end and last one for me. I'll HO back in the queue here just on the C D 96 asset. Are you still expecting a a readout this year? On C D 96, I think G's K filed or noted. I want this call that it. It's now going to pushed out a little bit but that might be a different combo trial OD. I'm just curious if that C D 96 read, that is still expected for for this year.

Speaker 12: This year got to and last one for me. Hop back in the queue here just on the C D 96 asset. Are you still expecting a readout this year? On CD 96, I think G's K filed or noted on latest call that it's not going to pushed out a little bit but that might be a different combo trial. I'm just curious if that CD 96 read that is still expected for for this year. Ken yes, So you were happy to do that. Thank So I think you know. As you know's, K is not solutely responsible for therthe continued development. G's K 6, you against C 96, and so they were going to be responble for communicating their plans. What you know know, what I think we can sayis that the studies continuue to enroll, and so you, I really don't have further details than that. Ok, Thank youthank you not for.

Kenneth yes, So you're happy to do that. So I think, as you know, GSK is now soutely responsible for ther continued the development of gk six zero eight against CP 96, and so they are going to be responsible for communicating their plans. What I think we can say that the studies continue to enroll, and so I really don't have further details on that.

Speaker 40: Kenneth yes, So you're happy to do that. So I think, as you know, GSK is now soutely responsible for ther continued the development of gk six zero eight against CP 96, and so they are going to be responsible for communicating their plans. What I think we can say that the studies continue to enroll, and so I really don't have further details on that.

Okay Thank you.

Speaker 1: Okay Thank you.

Thank you. I'm not showing any for the quite queue at the moment. 'd like onic call over to waade for any additional comce.

Speaker 1: Thank you. I'm not showing any for the quite queue at the moment. 'd like onic call over to waade for any additional comce.

Thank you, Victor. We have a few questions from investors through our online platformthat.

Speaker 1: Thank you, Victor. We have a few questions from investors through our online platformthat.

Speaker 8: A quite a queue at this moment. I like of call over to wait for any additional percomce. Thank you, Victor. We have a few questions from investors through online platform. I'm going to take some of the top questions here. We'll answer these. The first question is: what are the future plans for 23 me? You have ideas for creing future product and do you have any plan to modify yourcurrent productsyeah, I can take that and I think, if iif I catch Su ggjust of the program. I mean, we definitely feel like there's an amazingan opportunity to evolve the products and I would say the rise of tele medicine- that right is. Even online pharmacy has really opened up the door where people are comfortable and used to this kind of interaction, the help providers. So we have always seen a ision of how going we that sort of our customers by giving them genetic information and the next helping them, you know, have the next stps they can take.

I'm going to take some of the top questions here. We'll answer these. The first question is: what are the future plans betweeny threeing me? You have ideas for creating future products and do you have any planans to modify your current products?

Speaker 41: I'm going to take some of the top questions here. We'll answer these. The first question is: what are the future plans betweeny threeing me? You have ideas for creating future products and do you have any planans to modify your current products?

Yeah I can take that and I think, if I I catch the ggjust the program, I mean we definitely feel like there's an amazing opportunity to evolve the product and I would say the rise of telemedicine- the rights is even online, far of the- has really opened up the door where people are comfortable and used to this kind of interaction with healthcare providers. So we have always seen a ision of how can we that sort of our customers by giting them genetic information in the next, helping them, you have the next stps they can take. And it's been a challenge with know physiciian having a lack of reimbursement on know consults around genetics and lack of training. So we have this opportunity now I need to really create a full stack.

Speaker 1: Yeah I can take that and I think, if I I catch the ggjust the program, I mean we definitely feel like there's an amazing opportunity to evolve the product and I would say the rise of telemedicine- the rights is even online, far of the- has really opened up the door where people are comfortable and used to this kind of interaction with healthcare providers. So we have always seen a ision of how can we that sort of our customers by giting them genetic information in the next, helping them, you have the next stps they can take. And it's been a challenge with know physiciian having a lack of reimbursement on know consults around genetics and lack of training. So we have this opportunity now I need to really create a full stack.

Speaker 6: And it's been a challenge with physicians having a lack of reimbursement on consults around genetics and lack of training. So we have this opportunity now. I need to really create a full stack product where people can get access to the information, they can learn about it, they get ongoing information, they we will help them integrate it and and as well as they will have directions from health care providers. So I think there's a real opportunity to have a full St really integrated experience and that's what we are focused really on building out for the next year.

Product where people can get access to the information, they can learn about it, they get ongoing information, they we will help them integrate it and as well as they will have directions on health care providers. So I think there's a real opportunity to have a full fact, really integrated experienced, and that's what we are focused really on building out for the next year.

Speaker 42: Product where people can get access to the information, they can learn about it, they get ongoing information, they we will help them integrate it and as well as they will have directions on health care providers. So I think there's a real opportunity to have a full fact, really integrated experienced, and that's what we are focused really on building out for the next year.

S our next question is: how are we planning to compete with andbustthrough in their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How we re addressing this.

Speaker 1: S our next question is: how are we planning to compete with andbustthrough in their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How we re addressing this.

Speaker 20: Sour. Next question is: how are we planning to compete with ancestorry in their subscription revenue? Our customers seem to be one and done, without much incentive for additional spending. How we addressing this?

I would clear: we're quite different from ancestry. I mean ancestry really solving a specific need, which is about getting your records, and while 23 have a significant ancestry component about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information as was discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement level that we have, people come back, obviously for new relatives, but they really come back as well for the new health report. So more and more, more emphasized on that way, and I think that there's well. But while ancestry and 23 both leveragage conformation, levered it for very different purposes and I would say the health market, from all the analysis we've done, appears to be a larger market.

Speaker 43: I would clear: we're quite different from ancestry. I mean ancestry really solving a specific need, which is about getting your records, and while 23 have a significant ancestry component about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information as was discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement level that we have, people come back, obviously for new relatives, but they really come back as well for the new health report. So more and more, more emphasized on that way, and I think that there's well. But while ancestry and 23 both leveragage conformation, levered it for very different purposes and I would say the health market, from all the analysis we've done, appears to be a larger market.

Speaker 6: I would AR we're quite different from ancestry. I mean ancestry really evsolving a specific need, which is about getting your records, and while 23 have a significant ancestry component about finding your relatives, I would say that what we're very much focused on is the larger market, which is the health market. So how is it that people can continue to learn about themselves, learn about important health information as was discovered and as it comes out, and then really integrate that in our life? And so when we see the customer engagement level that we have, people come back, obviously for new relatives, but they really come back as well for the new health reports. So more and more emphasizede on that way and I think that there's well. But while ancestry and 23 both leverage conformation, levered it for very different purposes and I would say the health market, from all the analysis we've done, appears to be a larger marketthank you. The next question is: as 23 years alreadyexperien in the field of geneotype D a, are you at all interested in investing in the gene?

Thank you. The next question is, as pointing me has already experienced in the field of genotying DNA: are you at all interested in investing in the gene eine field or partnering with the company involved in space?

Speaker 1: Thank you. The next question is, as pointing me has already experienced in the field of genotying DNA: are you at all interested in investing in the gene eine field or partnering with the company involved in space?

What I would actually look to ne gene editing as a phenomenal tool that I could see one day definitely having a plicability with our therapeutics team, So I don't know if there's anything else you want to add to that tenneth, but it's a great tool that we could potentially leverage one day for our own kinds of research.

Speaker 1: What I would actually look to ne gene editing as a phenomenal tool that I could see one day definitely having a plicability with our therapeutics team, So I don't know if there's anything else you want to add to that tenneth, but it's a great tool that we could potentially leverage one day for our own kinds of research.

Yes So happy to respond. I mean it's a very exciting space. I think people know in look chrispro, cast 9, or there are multiple different types of genetative tools. Obviously we get genetic impacts from our database and where we thought there was something that have the potential to an impact from patients' lives and would involve something like editing, I think in that case we might look for opportunities to partner with other companies. Today we have the GSK collaboration, which is exclusive with gk, So and then, as you know, they're not a genetating companies. So I think it would be more of a long-term thing for 23 me rather than something in the near term, but but absolutely something that we continue to monitor and observe and what for those kinds of opportunities.

Speaker 44: Yes So happy to respond. I mean it's a very exciting space. I think people know in look chrispro, cast 9, or there are multiple different types of genetative tools. Obviously we get genetic impacts from our database and where we thought there was something that have the potential to an impact from patients' lives and would involve something like editing, I think in that case we might look for opportunities to partner with other companies. Today we have the GSK collaboration, which is exclusive with gk, So and then, as you know, they're not a genetating companies. So I think it would be more of a long-term thing for 23 me rather than something in the near term, but but absolutely something that we continue to monitor and observe and what for those kinds of opportunities.

Speaker 7: Not a genanything company. So I think it would be more of a long-term thing for 23 meet rather than something in the near term, but but absolutely something that we continue to monitor and observe and what will look for those kinds of opportunitiesthankyou. The next question is: where do you see the company in five years?

Thank you. The next question is: where do you see the company in five years?

Speaker 1: Thank you. The next question is: where do you see the company in five years?

What a great question. I love Board. I love. I love that kind of vision, because that is absolutely what we are building for. Is you know how you, over the long term, how are we actually really making a significant impact in our customers' lives, who all the health care system in general? I believe strongly that the expertise that 23 me is bring hereis how to interact direct to consumer, directly with our customers, how to engage them, and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23 me bring genomic medicine to everybody- and some of it's going to be direct to consumer, but some might be through additional channels. But everyone, when I talk to health care providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of care. So how are we going to get from the moment- today we very few people are actually getting genetics and integrated in their care- to a world where it is universal and everyone has the opportunity for truly personalized care?

Speaker 1: What a great question. I love Board. I love. I love that kind of vision, because that is absolutely what we are building for. Is you know how you, over the long term, how are we actually really making a significant impact in our customers' lives, who all the health care system in general? I believe strongly that the expertise that 23 me is bring hereis how to interact direct to consumer, directly with our customers, how to engage them, and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23 me bring genomic medicine to everybody- and some of it's going to be direct to consumer, but some might be through additional channels. But everyone, when I talk to health care providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of care. So how are we going to get from the moment- today we very few people are actually getting genetics and integrated in their care- to a world where it is universal and everyone has the opportunity for truly personalized care?

Speaker 23: What a great question. I love Board, I love. I love that kind of vision, because that is absolutely what we are building for. Is you know how you, over the long term, how are we actually really making a significant impact in our customers lives who hold the health care system in general? I believe strongly that the expertise that 23 me is bring hereis how to interact direct to consumer, are directly with our customers, how to engage them, and genomic medicine expertise. So when I think about the opportunity over the next five years, it's really about how does 23 me bring genomic medicine to everybody, and some of it's going to be direct to consumer, but some might be through additional ch channels. But everyone, when I talk to healthcare providers, everyone can agree that one day the human genome is going to be part of care. It is already an incredibly meaningful tool that could be applied throughout all aspects of care. So how are we going to get from the moment? Today we very few people are actually getting genetics and integrated in their care.

Speaker 5: To a world where universal and everyone have the opportunity fixly personalized care. Thank you very excety. The next question is about asking about when we'll know more about the curtest of came made drug and I think they're referring to the drugs in clinical testing right now and kind of I know you already answered that question about jesus case six zer o eight So maybe you could just speak for a second about our wholly owned program 20 during six 10 sure have happy to we So yes So so 20 three in the six 10. It's an antibody that targets to C D twent our one program which we think is important based on ourumminoncology signature and AR biology data in M oncology that that program entered the clinic earlier. This year. We nounced in January 20 twent to that we have initiated the clinical trials. We continue to enroll patients and the trial continues you know to make the progress as expected. So we're excited obviously to.

Thank you, So exciting.

Speaker 1: Thank you, So exciting.

The next question is about asking about when we'll know more about the current testam can ATE drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about Gus case 608, So maybe you could just speak for a second about our wholly owned program twoythousand three and six ten.

The next question is about asking about when we'll know more about the current testam can ate drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about Gus case 608, So maybe you could just speak for a second about our wholly owned program twoythousand three and six ten.

Speaker 26: The next question is about asking about when we'll know more about the current testam can ate drugs, and I think they're referring to the drugs in clinical testing right now and kind of. I know you already answered that question about Gus case 608, So maybe you could just speak for a second about our wholly owned program twoythousand three and six ten.

Sure have happy to. So yes, So 23 me 6, 10. it's an antibody that targets to CD twent, our one program, which we think is important, based on our imminno-oncology signature and our biology data in in immuno-oncology, that that program entered the clinic earlier this year. We renounced- in January - 20 and 20 -two that we have initiated clinical trials. We continue to enroll patients and the trial continues to make the progress as expected. So we're excited obviously, to continue to advance that program forwards. And then, as I referred to earlier, we have one of the things that's really unique about 23 and me is that we have a portfolio programs. Some of those are most of the marine company in colloration with GSK, but also some that are fullyoowned assets for 23 and me, and so just looking forward to continuing to move those advance, those that are the most compelling, with the highest probability success towards the clinic and then ultimately into clinical development.

Speaker 22: Sure have happy to. So yes, So 23 me 6, 10. it's an antibody that targets to CD twent, our one program, which we think is important, based on our imminno-oncology signature and our biology data in in immuno-oncology, that that program entered the clinic earlier this year. We renounced- in January - 20 and 20 -two that we have initiated clinical trials. We continue to enroll patients and the trial continues to make the progress as expected. So we're excited obviously, to continue to advance that program forwards. And then, as I referred to earlier, we have one of the things that's really unique about 23 and me is that we have a portfolio programs. Some of those are most of the marine company in colloration with GSK, but also some that are fullyoowned assets for 23 and me, and so just looking forward to continuing to move those advance, those that are the most compelling, with the highest probability success towards the clinic and then ultimately into clinical development.

Speaker 7: To continue to advance that program forwards. And then, as I refer to earlier, we have one of the things that's reallyunique by Y three and me is that we have a portfolio programs. Some of those are most of the marine company in coroation from with gk, but also some better are wholly ordwards assets for Twenty three and me. And so just looking forward to continuing to move those advance, those that are the most compelling, with the highest probability success, towards the clinic and then ultimately into clinical developmentthank.

nfe co.

Speaker 1: nfe co.

Next question is: what are your plans to make the company more profitable for stockholders?

Speaker 23: Next question is: what are your plans to make the company more profitable for stockholders?

Speaker 20: The question is: what are your plans to make the company more profitable for stockholdersa? Couple things when, I think then I can also hand over to to to see. I think one know 23 me been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have recently acquired with lemonade. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in the health care world, in the consumer world, that are founded in genetics, and I see the beginnings of our subscription product in the opportunities for us to really enhance that and add a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road, but there is a very clear and well defined path when you do have successful compounds. So we are investing, we believe.

A couple things when I think that I can also hand over to to to see. I think one know 23 me has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have werecently acquired with lemonade. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in health care world, in the consumer world, that are founded in genetics and I see the beginnings of our subscription products in the opportunities for us to really enhance that and add a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds. So we are investing, we believe, with strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at but the three prongs here, one is really being very efficient with how we re using our resources to really creating products that are going to solvean incredible opportunity in a need for our customers as well as the health care world. And 3, really continuing on our path for developing therapeutics that we believe will have a higher likelihood of success because of the genetic foundation.

Speaker 1: A couple things when I think that I can also hand over to to to see. I think one know 23 me has been really focused on making sure that we are efficient with how we're using all of our resources and making sure that we are really maximizing a lot of the value we have, especially out of everything that we have werecently acquired with lemonade. Second, it's absolutely clear to me that there is an opportunity to develop additional products that really serve a need in health care world, in the consumer world, that are founded in genetics and I see the beginnings of our subscription products in the opportunities for us to really enhance that and add a lot more that serves a real need for our customers as well as the health care system in general. Obviously, on therapeutics, that is a longer road but there is a very clear and well defined path when you do have successful compounds. So we are investing, we believe, with strong conviction around the pipeline we have, especially having a coming from a human genetics targets. So when I look at but the three prongs here, one is really being very efficient with how we re using our resources to really creating products that are going to solvean incredible opportunity in a need for our customers as well as the health care world. And 3, really continuing on our path for developing therapeutics that we believe will have a higher likelihood of success because of the genetic foundation.

Speaker 5: With strong conviction around the pipeline we have, especially having a coming from a human genetic targets. So when I look at but the three prongs here, one is really being very efficient with how we are using our resources to really creating products that are going to solve an incredible opportunity in a need for our customers as well as the health care world. And 3, really continuing on our path for developing therapeutics that we believe will have a higher likelihood of success because of the genetic foundation.

Anything to add their seas?

Speaker 9: Anything to add their seas?

Just a couple of things. To put a finer point on it, I think you know when we look at, I mean, we got this business to, we got the consumer business in fiscal 21 to above breakeven on a operating cash flow basis and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and and how much revenue we were driving. and- and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment becomes more driven by product than it does by marketing. So super important concept there. And then I think, scale for the top line, you know. Returning back to, you know a good growth profile is the new products roll out late in the year. Also super important because we have some fixed costs in GNA and some of the technical functions in in the consumer segment that are, you know there's a minimum size to them to run the infrastructure. So those are both super important to to get that- and that's our first order business- to get that, that segment back to contributing cash to the company.

Speaker 23: Just a couple of things. To put a finer point on it, I think you know when we look at, I mean, we got this business to, we got the consumer business in fiscal 21 to above breakeven on a operating cash flow basis and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and and how much revenue we were driving. and- and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment becomes more driven by product than it does by marketing. So super important concept there. And then I think, scale for the top line, you know. Returning back to, you know a good growth profile is the new products roll out late in the year. Also super important because we have some fixed costs in GNA and some of the technical functions in in the consumer segment that are, you know there's a minimum size to them to run the infrastructure. So those are both super important to to get that- and that's our first order business- to get that, that segment back to contributing cash to the company.

Speaker 5: I think to add their teejust a couple of things to put a finer point down it. I think you know, when we look at I mean we got this business to, we got the consumer business in fiscal pointy one to above breakeven on a operating cash flow basis, and one of the ways that happened is that we were much more efficient in the marketing spend category in terms of the relationship between marketing spend and and how much revenue we were driving. And, and I think so, I think one of the keys lies in there and I think the driver of that will be that that that segment becomes more driven. The consumer part of that segment becomes more driven by product than it does by marketing. So super important concept there. And then I think, scale for the top line, you know, returning back to, you know a good ROTH profile is the new products roll out late in the year. Also super important because we have some fixed costs in G N a and some of the technical functions in the consumer segment that are, you know there's a minimum size to them to run the infrastructure. So those are both super important to get that.

Speaker 4: And that's our first order business- to get that, that segment, back to contributing gash in the company. Thank you, I think we'll take one more question here and wrap it up. The last question is: are you entering any new partnerships? I don't believe there's anything else that we can, and now, right now. But we are always looking at ways that we will be able to enhance our customer offering and, I would say, after you know, in the post G's K world, we definitely think about ways that we can continue and to enhance our research related partnership. So partnership is always top of our mind. We're always evaluating opportunities, but nothing today for us to runnounce. All right, thanks. So I think that that we'll wrap up the Q a and I'll turn over to and to wrap up the call, just want to say thank you to everyone for joining and we look forward to talking to you next quarter.

Thank you I think we'll take one more question here and then wrap it up. The last question is.

Speaker 1: Thank you I think we'll take one more question here and then wrap it up. The last question is.

Are you entering any new partnerships?

Speaker 26: Are you entering any new partnerships?

I don't believe there's anything else that we can announce right now, but we are always looking at ways that we will be able to enhance our customer offering and I would say, after you know, in the postgk world, we would definitely think about ways that we can continue and to enhance our research related partnershipi. So partnership is always top of our mind. We're always evaluating opportunities, but nothing today for us to run out.

Speaker 1: I don't believe there's anything else that we can announce right now, but we are always looking at ways that we will be able to enhance our customer offering and I would say, after you know, in the postgk world, we would definitely think about ways that we can continue and to enhance our research related partnershipi. So partnership is always top of our mind. We're always evaluating opportunities, but nothing today for us to run out.

All right, thanks. So I think that that we'll wrap up the QA and I'll turn it over to Ann to wrap up the call.

Speaker 1: All right, thanks. So I think that that we'll wrap up the QA and I'll turn it over to Ann to wrap up the call.

Just want to say thank you to everyone for joining and we look forward to talking to you next quarter.

Speaker 11: Just want to say thank you to everyone for joining and we look forward to talking to you next quarter.

This concludes today's conference call. Thank you for participating. You may now dis connect everyone. Have a great day.

Speaker 1: This concludes today's conference call. Thank you for participating. You may now dis connect everyone. Have a great day.

Speaker 8: Concludes today's conference call. Thank you for participating. You may know this connect everyone. Have a great day.

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